Fiscal Year 2018MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
FINANCIAL STATEMENTS
As of and for the Year Ended September 30, 2018
And Reports of Independent Auditor
i%> Cherry
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
TABLE OF CONTENTS
REPORT OF INDEPENDENT AUDITOR
FINANCIAL STATEMENTS
1-2
Balance Sheet — General Fund............................................................................................................................3
Statement of Revenues, Expenditures, and Changes in Fund Balances — General Fund..................................4
Notes to Financial Statements....................................................................................................................... 5-10
REQUIRED SUPPLEMENTARY INFORMATION
Schedule of Revenues and Expenditures - Budget and Actual — General Fund...............................................11
SUPPLEMENTARY REPORTS
Report of Independent Auditor on Internal Control over
Financial Reporting and on Compliance and Other Matters
Based on an Audit of Financial Statements Performed
in Accordance with Government Auditing Standards............................................................................... 12-13
Independent Auditor's Management Letter.................................................................................................. 14-15
Report of Independent Accountant on Compliance with Local Government Investment Policies.....................16
Cherry,ekae r
Report of Independent Auditor
To the Honorable Scott Russell
Property Appraiser of Monroe County, Florida
Report on Financial Statements
We have audited the accompanying financial statements of the major fund of the Monroe County, Florida Property
Appraiser (the "Property Appraiser"), as of and for the year ended September 30, 2018, and the related notes to
financial statements as listed in the table of contents.
Management's Responsibility for the Financial Statements
Management is responsible for the preparation and fair presentation of these financial statements in accordance
with accounting principles generally accepted in the United States of America; this includes the design,
implementation, and maintenance of internal control relevant to the preparation and fair presentation of the
financial statements that are free from material misstatement, whether due to fraud or error.
Auditor's Responsibility
Our responsibility is to express an opinion on these financial statements based on our audit. We conducted our
audit in accordance with auditing standards generally accepted in the United States of America and the standards
applicable to financial audits contained in Government Auditing Standards issued by the Comptroller General of
the United States. Those standards require that we plan and perform the audit to obtain reasonable assurance
about whether the financial statements are free from material misstatement.
An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the
financial statements. The procedures selected depend on the auditor's judgment, including the assessment of the
risks of material misstatement of the financial statements, whether due to fraud or error. In making those risk
assessments, the auditor considers internal control relevant to the Property Appraiser's preparation and fair
presentation of the financial statements in order to design audit procedures that are appropriate in the
circumstances, but not for the purpose of expressing an opinion on the effectiveness of the Property Appraiser's
internal control. Accordingly, we express no such opinion. An audit also includes evaluating the appropriateness
of accounting policies used and the reasonableness of significant accounting estimates made by management,
as well as evaluating the overall presentation of the financial statements.
We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit
opinion.
Opinion
In our opinion, the financial statements referred to above present fairly, in all material respects, the financial
position of the major fund of the Property Appraiser as of September 30, 2018, and the respective changes in
financial position thereof for the year then ended, in accordance with accounting principles generally accepted in
the United States of America.
Emphasis of Matter
As discussed in Note 1 to the financial statements, the financial statements referred to above were prepared solely
for the purpose of complying with the Rules of the Auditor General of the State of Florida. In accordance with the
Rules, the accompanying financial statements are intended to present the financial position and changes in
financial position of the general fund of Monroe County, Florida that is attributable to the Property Appraiser. They
do not purport to, and do not, present fairly the financial position of Monroe County, Florida as of September 30,
2018, and the changes in its financial position for the fiscal year then ended in accordance with accounting
principles generally accepted in the United States of America. Our opinion is not modified with respect to this
matter.
Other Matters
Required Supplementary Information
Accounting principles generally accepted in the United States of America require that required supplementary
information as listed in the table of contents be presented to supplement the financial statements. Such
information, although not a part of the financial statements, is required by the Governmental Accounting Standards
Board, who considers it to be an essential part of financial reporting for placing the financial statements in an
appropriate operational, economic, or historical context. We have applied certain limited procedures to the
required supplementary information in accordance with auditing standards generally accepted in the United States
of America, which consisted of inquiries of management about the methods of preparing the information and
comparing the information for consistency with management's responses to our inquiries, the financial statements,
and other knowledge we obtained during our audit of the financial statements. We do not express an opinion or
provide any assurance on the information because the limited procedures do not provide us with sufficient
evidence to express an opinion or provide any assurance.
Other Reporting Required by Government Auditing Standards
In accordance with Government Auditing Standards, we have also issued our report dated January 25, 2019 on
our consideration of the Property Appraiser's internal control over financial reporting and our tests of its compliance
with certain provisions of laws, regulations, contracts, and grant agreements and other matters. The purpose of
that report is to describe the scope of our testing of internal control over financial reporting and compliance and
the results of that testing, and not to provide an opinion on the internal control over financial reporting or on
compliance. That report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the Property Appraiser's internal control over financial reporting and compliance.
Orlando, Florida
January 25, 2019
FINANCIAL STATEMENTS
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
BALANCE SHEET -
GENERAL FUND
SEPTEMBER 30, 2018
ASSETS
Cash and cash equivalents $ 663,394
Total Assets $ 663,394
LIABILITIES AND FUND BALANCE
Liabilities:
Accounts payable $ 21,007
Accrued wages and benefits payable 52,393
Due to Board of County Commissioners 533,074
Due to other governmental units 56,920
Total Liabilities 663,394
Fund Balance -
Total Liabilities and Fund Balance $ 663,394
The accompanying notes to the financial statements are an integral part of this statement. 3
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
STATEMENT OF REVENUES, EXPENDITURES, AND CHANGES IN FUND BALANCES -
GENERAL FUND
YEAR ENDED SEPTEMBER 30, 2018
Revenues:
Intergovernmental:
Board of County Commissioners
$ 3,668,294
Charges for services:
Other taxing districts
391,690
Investment income
2,479
Miscellaneous
12,905
Total Revenues
4,075,368
Expenditures:
Current:
Personnel services 2,585,963
Operating expenditures 818,573
Capital outlay 80,838
Total Expenditures 3,485,374
Excess of revenues over expenditures 589,994
Other Financing Sources (Uses):
Transfers to Board of County Commissioners (533,074)
Transfers to other governmental units (56,920)
Total Other Financing Sources (Uses) (589,994)
Net change in fund balance -
Fund balance, beginning of year -
Fund balance, end of year $ -
The accompanying notes to the financial statements are an integral part of this statement. 4
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 1—Summary of significant accounting policies
Reporting Entity — The Monroe County, Florida Property Appraiser (the "Property Appraiser") is a separately
elected county official established pursuant to the Constitution of the State of Florida. These financial statements
present only the Property Appraiser's Office and do not purport to reflect the financial position or the results of
operations of Monroe County, Florida (the "County") taken as a whole. The financial statements of the Property
Appraiser have been prepared in accordance with the accounting principles and reporting guidelines established
by the Governmental Accounting Standards Board ("GASB").
Entity status for financial reporting purposes is governed by Statements No. 14, as amended. Although the
Property Appraiser's Office is operationally autonomous, it does not hold sufficient corporate powers of its own to
be considered a legally separate entity for financial reporting purposes. Therefore, under GASB guidelines, the
Property Appraiser is reported as a part of the primary government of Monroe County, Florida.
Measurement Focus, Basis of Accounting, and Financial Statement Presentation — The Property Appraiser's
financial statements are prepared for the purpose of complying with Florida Statute 218.39(2), and Chapter
10.550, Rules of the Auditor General, which require the Property Appraiser to only present fund financial
statements.
The General Fund is used to account for all revenues and expenditures applicable to the general operations of
the Property Appraiser that are not legally required or by accounting principles generally accepted in the United
States of America to be accounted for in another fund. The General Fund is presented as a major governmental
fund and uses the current financial resources, measurement focus, and the modified accrual basis of accounting.
Revenues are recognized when measurable and available. Revenues are considered to be available when they
are collectible within the current period or soon enough thereafter to pay liabilities of the current period. For this
purpose, the Property Appraiser considers revenues to be available if they are collected within 60 days of the end
of the current fiscal period. Expenditures generally are recorded when a liability is incurred, as under accrual
accounting. However, expenditures related to compensated absences and claims and judgments are recorded
only when payment is due.
The extent to which General Fund revenues exceed expenditures is reflected as transfers out and as liabilities to
the Monroe County Board of County Commissioners (the "Board") and other governmental agencies in the same
proportion as fees paid by each governmental unit to total fees earned by the Property Appraiser.
Budgetary Requirements — General Fund expenditures are controlled by budget appropriations in accordance
with the requirements set forth in the Florida Statutes. The budget is prepared on a basis consistent with
accounting principles generally accepted in the United States of America.
Cash and Cash Equivalents — The Property Appraiser's cash and cash equivalents consist of cash on hand and
demand deposits. All cash and cash equivalents are insured by the Federal Deposit Insurance Corporation
(FDIC) or covered by the State of Florida collateral pool, a multiple financial institution pool with the ability to
assess its members for collateral shortfalls if a member institution fails.
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 1—Summary of significant accounting policies (continued)
Capital Assets — Tangible personal property used in the Property Appraiser's operations is recorded as
expenditures in the General Fund at the time assets are received and a liability is incurred. Purchased assets are
capitalized at historical cost in the government -wide financial statements of the County. In addition, the Board
provides office space used by the Property Appraiser at no charge.
Compensated Absences — The Property Appraiser permits employees to accumulate earned but unused vacation
and sick pay benefits. The Property Appraiser is not legally required to and does not accumulate expendable
available financial resources to liquidate this obligation. The obligation for compensated absences is accrued in
the government -wide financial statements of the County. A summary of activity for the Property Appraiser's
compensated absences obligation is as follows:
Balance, October 1, 2017 $159,811
Additions 238,016
Deletions 23( 6,030)
Balance, September 30, 2018 $161,797
Use of Estimates — The preparation of financial statements requires management to make use of estimates that
affect reported amounts. Actual results could differ from estimates.
Note 2—Deposits and investments
The Property Appraiser follows Florida Statutes for its investment policy, which authorizes investments in
certificates of deposit, savings accounts, repurchase agreements, the Local Government Surplus Funds Trust
Fund administered by the Florida State Board of Administration, and obligations of the U.S. Government and
governmental agencies unconditionally guaranteed by the U.S. Government.
At September 30, 2018, cash and cash equivalents included demand deposits with a carrying amount of $663,394
and a bank balance of $687,372.
Note 3—Retirement system
Plan Description — The Property Appraiser's employees participate in the Florida Retirement System (FRS). As
provided by Chapters 121 and 112, Florida Statutes, the FRS provides two cost sharing, multiple employer defined
benefit plans administered by the Florida Department of Management Services, Division of Retirement, including
the FRS Pension Plan ("Pension Plan") and the Retiree Health Insurance Subsidy ("HIS Plan"). Under Section
121.4501, Florida Statutes, the FRS also provides a defined contribution plan ("Investment Plan") alternative to
the FRS Pension Plan, which is administered by the State Board of Administration.
As a general rule, membership in the FRS is compulsory for all employees working in a regularly established
position for a state agency, county government, district school board, state university, community college, or a
participating city or special district within the State of Florida. The FRS provides retirement and disability benefits,
annual cost -of -living adjustments, and death benefits to plan members and beneficiaries. Benefits are established
by Chapter 121, Florida Statutes, and Chapter 60S, Florida Administrative Code. Amendments to the law can be
made only by an act of the Florida Legislature.
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 3—Retirement system (continued)
Benefits under the Pension Plan are computed on the basis of age, average final compensation, and service
credit. For Pension Plan members enrolled before July 1, 2011, Regular class members who retire at or after age
62 with at least six years of credited service, or 30 years of service regardless of age are entitled to a retirement
benefit payable monthly for life, equal to 1.60% of their final average compensation based on the five highest
years of salary, for each year of credited service. Vested members with less than 30 years of service may retire
before age 62 and receive reduced retirement benefits. Senior Management Service class members who retire at
or after age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a
retirement benefit payable monthly for life, equal to 2.00% of their final average compensation based on the five
highest years of salary for each year of credited service. Elected Officers' class members who retire at or after
age 62 with at least six years of credited service or 30 years of service regardless of age are entitled to a retirement
benefit payable monthly for life, equal to 3.00% (3.33% forjudges and justices) of their final average compensation
based on the five highest years of salary for each year of credited service. Substantial changes were made to the
Pension Plan during fiscal year 2011, affecting new members enrolled on or after July 1, 2011 by extending the
vesting requirement to eight years of credited service and increasing normal retirement to age 65 or 33 years of
service regardless of age. Also, the final average compensation for these members is based on the eight highest
years of salary.
The HIS Plan provides a monthly benefit to assist retirees in paying their health insurance costs and is
administered by the Florida Department of Management Services, Division of Retirement. Eligible retirees and
beneficiaries receive a monthly health insurance subsidy payment of $5 for each year of creditable service, with
a minimum payment of $30 and a maximum payment of $150 per month. The HIS Plan is funded by required
contributions from FRS participating employees as set forth by the Florida Legislature, based on a percentage of
gross compensation for all active FRS members.
In addition to the above benefits, the FRS administers a DROP. This program allows eligible members to defer
receipt of monthly retirement benefit payments while continuing employment with a FRS employer for a period not
to exceed 60 months after electing to participate. Deferred monthly benefits are held in the FRS Trust Fund and
accrue interest. There are no required contributions by DROP participants.
For those members who elect participation in the Investment Plan, rather than the Pension Plan, vesting occurs
at one year of service. These participants receive a contribution for self -direction in an investment product with a
third party administrator selected by the State Board of Administration. Employer and employee contributions,
including amounts contributed to individual member's accounts, are defined by law, but the ultimate benefit
depends in part on the performance of investment funds. Benefit terms, including contribution requirements, for
the Investment Plan are established and may be amended by the Florida Legislature. The Investment Plan is
funded with the same employer and employee contribution rates that are based on salary and membership class
(Regular Class, Elected County Officers, etc.), as the FRS defined benefit plan. Contributions are directed to
individual member accounts, and the individual members allocate contributions and account balances among
various approved investment choices. Costs of administering plan, including the FRS Financial Guidance
Program, are funded through an employer contribution of 0.04% of payroll and by forfeited benefits of plan
members.
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 3—Retirement system (continued)
The Property Appraiser recognizes pension expenditures in an amount equal to amounts paid to the Pension
Plan, the defined contribution plan, and the HIS Plan, amounting to $184,264, $56,619, and $35,519, respectively,
for the fiscal year ended September 30, 2018. The Property Appraiser's payments for the Pension Plan and the
HIS Plan after June 30, 2018, the measurement date used to determine the net pension liability associated with
the Pension Plan and HIS Plan, amounted to $62,869 and $9,695, respectively. The Property Appraiser is not
legally required to and does not accumulate expendable available resources to liquidate the retirement obligation
related to its employees. Accordingly, the net pension liability and associated deferred outflows and deferred
inflows are presented on the government -wide financial statements of the County, following requirements of GASB
Statement No. 68, Accounting and Financial Reporting for Pensions — an amendment of GASB Statement No. 27,
and GASB Statement No. 71, Pension Transition for Contributions Made Subsequent to the Measurement Date
— an amendment of GASB Statement No. 68.
Funding Policy— All enrolled members of the FRS Pension Plan are required to contribute 3.00% of their salary
to the FRS. In addition to member contributions, governmental employers are required to make contributions to
the FRS based on state-wide contribution rates. The employer contribution rates by job class for the periods from
October 1, 2017 through June 30, 2018 and July 1, 2018 through September 30, 2018, respectively, were as
follows: regular - 7.92% and 8.26%; county elected officers — 45.50% and 48.70%; senior management - 22.71 %
and 24.06%; and Deferred Retirement Option Program ("DROP") participants — 13.26% and 14.03%. During the
fiscal year ended September 30, 2018, the Property Appraiser contributed to the plan an amount equal to 12.92%
of covered payroll.
The state of Florida annually issues a publicly available financial report that includes financial statements and
required supplementary information for the FRS. The latest available report may be obtained by writing to the
state of Florida Division of Retirement, Department of Management Services, P.O. Box 9000, Tallahassee, Florida
32315-9000. That report may be viewed on the Florida Department of Management Services website located at
www.dms.my orida.com/workforce operations/retirement/ ublicaticns
Note 4—Other postemployment benefit plan (the "OPEB Plan")
In addition to the pension benefits described in Note 3, the Property Appraiser offers to its employees a single -
employer defined benefit healthcare plan, which is administered by the Board. Florida Statute 112.0801 requires
the County to provide retirees and their eligible dependents with the option to participate in the OPEB Plan if the
County provides health insurance to its active employees and their eligible dependents. The OPEB Plan provides
medical coverage, prescription drug benefits, and life insurance to both active and eligible retired employees. The
OPEB Plan does not issue a publicly available financial report. No assets are accumulated in a trust that meets
the criteria as set forth in GASB Statement 75, Accounting and Financial Reporting for Postemployment Benefit
Plans Other Than Pensions.
The Board may amend the OPEB Plan design, with changes to the benefits, premiums and/or levels of participant
contribution at any time. On at least an annual basis, in an open session, and prior to the annual enrollment
process, the Board approves the rates for the coming calendar year for the retiree and County contributions.
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 4—Other postemployment benefit plan (the "OPEB Plan") (continued)
Eligibility for postemployment participation in the OPEB Plan is limited to full-time employees of the County, and
the Constitutional Officers. An employee who retires as an active participant in the OPEB Plan and was hired on
or after October 1, 2001 may continue to participate in the OPEB Plan by paying the monthly premium established
annually by the Board. An employee who retires as an active participant in the plan, was hired prior to October 1,
2001, has at least ten years of full-time service with the County, and meets the retirement criteria of the FRS but
is not eligible for Medicare, may maintain group health insurance benefits with Monroe County following
retirement, provided the retiring employee contributes the amounts shown in the table below.
Contribution as Percentage of Annual Actuarial Rate
Plan
Year
Years of Service with Monroe Count
25+
20-24
10-19
2018
HISM
17%
18%
2019
HIS
18%
26%
2020
HIS
20%
34%
2021
HIS
22%
42%
2022
HIS
25%
50%
HIS is the State of Florida's Health Insurance Subsidy plan that assists
retirees in paying the cost of health insurance as explained in Note 5.
Retirees who have met the requirements for early retirement, have not achieved age 60 and whose age and years
of service do not equal 70 (rule of 70) must pay the standard monthly premium until the age criteria or the rule of
70 is met. At that time, the retiree's cost of participation will be based on the preceding table. Surviving spouses
and dependents of participating retirees may continue in the plan if eligibility criteria specific to those classes are
met.
An employee who retires as an active participant in the plan, was hired prior to October 1, 2001, has at least ten
years of full-time service with the County, and meets the retirement criteria of the FRS and is eligible for Medicare
at the time of retirement or becomes eligible for Medicare following retirement, may maintain group health
insurance benefits with Monroe County following retirement, provided the retiring employee contributes the
Actuarial Rate for Medicare retirees as determined by the actuarial firm engaged by the County, less a $250 per
month County subsidy. Alternatively, retirees meeting these criteria may elect to leave the County health plan and
receive a $250 per month payment from the County, payable for the lifetime of the retiree.
The Board engages an actuarial firm on a biannual basis to determine the County's accrued net OPEB liability.
The Property Appraiser has no responsibility to the OPEB Plan other than to make the periodic payments
determined by the Board, which are presented as expenditures when made and amounted to $138,180 for the
year ended September 30, 2018. Further information about the OPEB Plan is available in the County's CAFR
which is published on the Clerk's website at www.clerk-of-the-court.com.
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
NOTES TO FINANCIAL STATEMENTS
SEPTEMBER 30, 2018
Note 5—Risk management
The Property Appraiser is exposed to various risks of loss related to tort; theft of, damage to, and destruction of
assets; errors and omissions; injuries to employees; and natural disasters. The Property Appraiser participates in
the coverage provided by the Board for Workers' Compensation, Group Insurance, and Risk Management internal
service funds. Under these programs, Workers' Compensation provides $500,000 coverage per claim for regular
employees. Workers' Compensation claims in excess of the self -insured coverage are covered by an excess
insurance policy. Risk Management has a $5,000,000 excess insurance policy for general liability claims with a
$200,000 self -insured retention, and building property damage is covered for the actual value of the buildings with
a deductible of $50,000. Deductibles for windstorm and flood vary by location. The County purchases commercial
insurance for claims in excess of coverage provided by the funds and for all other risks of loss. Settled claims
have not exceeded this commercial coverage in any of the past three years. The Property Appraiser makes
payments to the Workers' Compensation, Group Insurance, and Risk Management Funds based on estimates of
the amounts needed to pay prior and current year claims.
Note 6—Commitments
Operating Leases — The Property Appraiser leases office equipment under various operating lease agreements.
Total lease expenditures amounted to $21,232 during the year ended September 30, 2018.
The following is a schedule by years of minimum future obligations under noncancelable operating leases as of
September 30:
Years Ending September 30,
2019
2020
Total
Note 7—Litigation
Amount
$ 41,616
11,803
$ 53,419
The Property Appraiser is a party from time to time in various lawsuits and other claims incidental to the ordinary
course of its operation, some of which are covered by the Board's self-insurance program. While the results of
litigation cannot be predicted with certainty, management believes the final outcome of such litigation will not have
a material adverse effect on the Property Appraiser's financial position.
10
REQUIRED SUPPLEMENTARY INFORMATION
MONROE COUNTY, FLORIDA
PROPERTY APPRAISER
SCHEDULE OF REVENUES AND EXPENDITURES - BUDGET AND ACTUAL -
GENERAL FUND
YEAR ENDED SEPTEMBER 30, 2018
Revenues:
Intergovernmental:
Board of County Commissioners
Other taxing districts
Investment income
Miscellaneous
Total Revenues
Expenditures:
Current:
Personnel services
Operating expenditures
Capital outlay
Total Expenditures
Excess of revenues over expenditures
Other Financing Sources (Uses):
Transfers to Board of County Commissioners
Transfers to other governmental units
Total Other Financing Sources (Uses)
Excess of revenues over expenditures
and other financing uses
Fund balance, beginning of year
Fund balance, end of year
General Fund
Original Final
Variance with
Final Budget
Positive
$ 3,660,506 $ 3,668,294 $ 3,668,294 $ -
391,690 391,690 391,690 -
- - 2,479 2,479
- - 12,905 12,905
4,052,196 4,059,984 4,075,368 15, 384
3,029,475
3,106,664
2,585,963
520,701
743,921
822,482
818,573
3,909
278,800
130,838
80,838
50,000
4,052,196
4,059,984
3,485,374
574,610
- - 589,994 (589,994)
- - (533,074) (533,074)
- - (56,920) (56,920)
- - (589,994) (589,994)
11
SUPPLEMENTARY REPORTS
Cherry,ekae r
Report of Independent Auditor on Internal Control over Financial Reporting and
on Compliance and Other Matters Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards
To the Honorable Scott Russell
Property Appraiser of Monroe County, Florida
We have audited, in accordance with auditing standards generally accepted in the United States of America and
the standards applicable to financial audits contained in Go vernment Auditing Standards issued by the Comptroller
General of the United States, the financial statements of the major fund of the Monroe County, Florida Property
Appraiser (the "Property Appraiser") as of and for the year ended September 30, 2018, and the related notes to
financial statements, and have issued our report thereon dated January 25, 2019 for the purpose of compliance
with Section 218.39(2), Florida Statutes, and Chapter 10.550, Rules of the Auditor General -Local Governmental
Entity Audits.
Internal Control over Financial Reporting
In planning and performing our audit of the financial statements, we considered the Property Appraiser's internal
control over financial reporting (internal control) to determine the audit procedures that are appropriate in the
circumstances for the purpose of expressing our opinion on the financial statements, but not for the purpose of
expressing an opinion on the effectiveness of the Property Appraiser's internal control. Accordingly, we do not
express an opinion on the effectiveness of the Property Appraiser's internal control.
A deficiency in internal control exists when the design or operation of a control does not allow management or
employees, in the normal course of performing their assigned functions, to prevent, or detect and correct,
misstatements on a timely basis. A material weakness is a deficiency, or a combination of deficiencies, in internal
control, such that there is a reasonable possibility that a material misstatement of the Property Appraiser's financial
statements will not be prevented, or detected and corrected on a timely basis. A significant deficiency is a
deficiency, or a combination of deficiencies, in internal control that is less severe than a material weakness, yet
important enough to merit attention by those charged with governance.
Our consideration of internal control was for the limited purpose described in the first paragraph of this section
and was not designed to identify all deficiencies in internal control that might be material weaknesses or significant
deficiencies. Given these limitations, during our audit we did not identify any deficiencies in internal control that
we consider to be material weaknesses. However, material weaknesses may exist that have not been identified.
Compliance and Other Matters
As part of obtaining reasonable assurance about whether the Property Appraiser's financial statements are free
from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,
contracts, and grant agreements, noncompliance with which could have a direct and material effect on the
determination of financial statement amounts. However, providing an opinion on compliance with those provisions
was not an objective of our audit, and accordingly, we do not express such an opinion. The results of our tests
disclosed no instances of noncompliance or other matters that are required to be reported under Government
Auditing Standards.
12
Purpose of this Report
The purpose of this report is solely to describe the scope of our testing of internal control and compliance and the
results of that testing, and not to provide an opinion on the effectiveness of the Property Appraiser's internal control
or on compliance. This report is an integral part of an audit performed in accordance with Government Auditing
Standards in considering the Property Appraiser's internal control and compliance. Accordingly, this
communication is not suitable for any other purpose.
Orlando, Florida
January 25, 2019
13
i 001
Independent Auditor's Management Letter
To the Honorable Scott Russell
Property Appraiser of Monroe County, Florida
Report on the Financial Statements
We have audited the financial statements of the Monroe County, Florida Property Appraiser (the "Property
Appraiser"), as of and for the year ended September 30, 2018, and have issued our report thereon dated
January 25, 2019.
Auditor's Responsibility
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards, issued
by the Comptroller General of the United States; and Chapter 10.550, Rules of the Auditor General.
Other Reports
We have issued our Report of Independent Auditor on Internal Control over Financial Reporting and on
Compliance and Other Matters Based on an Audit of Financial Statements Performed in Accordance with
Government Auditing Standards, and Report of Independent Accountant on Compliance with Local Government
Investment Policies regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor
General. Disclosures in those reports, which are dated January 25, 2019, should be considered in conjunction
with this management letter.
Prior Audit Findings
Section 10.554(1)(i)1., Rules of the Auditor General, requires that we determine whether or not corrective
actions have been taken to address findings and recommendations made in the preceding annual financial audit
report. There were no recommendations made in the preceding annual financial audit report.
Official Title and Legal Authority
Section 10.554(1)(i)4., Rules of the Auditor General, requires that the name or official title and legal authority for
the primary government and each component unit of the reporting entity be disclosed in this management letter,
unless disclosed in the notes to the financial statements. The Property Appraiser is a separately elected county
official established pursuant to the Constitution of the State of Florida. There are no component units related to
the Property Appraiser.
Financial Management
Section 10.554(1)(i)2., Rules of the Auditor General, requires that we address in the management letter any
recommendations to improve financial management. In connection with our audit, we did not have any such
recommendations.
Additional Matters
Section 10.554(1)(i)3., Rules of the Auditor General, requires that we communicate noncompliance with
provisions of contracts or grant agreements, or abuse, that have occurred, or are likely to have occurred, that
have an effect on the financial statements that is less than material but which warrants the attention of those
charged with governance. In connection with our audit, we did not have any such findings.
14
Purpose of This Letter
The purpose of this management letter is to communicate certain matters prescribed by Chapter 10.550, Rules
of the Auditor General. Accordingly, this management letter is not suitable for any other purpose.
Orlando, Florida
January 25, 2019
15
(0011c
Cherry ekaer
Report of Independent Accountant on Compliance
with Local Government Investment Policies
To the Honorable Scott Russell
Property Appraiser of Monroe County, Florida
We have examined the Monroe County, Florida Property Appraiser's (the "Property Appraiser") compliance with
the local government investment policy requirements of Section 218.415, Florida Statutes, during the year
ended September 30, 2018. Management of the Property Appraiser is responsible for the Property Appraiser's
compliance with the specified requirements. Our responsibility is to express an opinion on Property Appraiser's
compliance with the specified requirements based on our examination.
Our examination was conducted in accordance with attestation standards established by the American Institute
of Certified Public Accountants. Those standards require that we plan and perform the examination to obtain
reasonable assurance about whether the Property Appraiser complied, in all material respects, with the
specified requirements referenced above. An examination involves performing procedures to obtain evidence
about whether the Property Appraiser complied with the specified requirements. The nature, timing and extent of
the procedures selected depend on our judgment, including an assessment of the risks of material
noncompliance, whether due to fraud or error. We believe that the evidence obtained is sufficient and
appropriate to provide a reasonable basis for our opinion.
Our examination does not provide a legal determination on the Property Appraiser's compliance with the specific
requirements.
In our opinion, the Property Appraiser complied, in all material respects, with the local investment policy
requirements of Section 218.415, Florida Statutes, during the year ended September 30, 2018.
The purpose of this report is to comply with the audit requirements of Section 218.415, Florida Statutes, and
Rules of the Auditor General.
Orlando, Florida
January 25, 2019
16