Item S1 S.1
� � �, BOARD OF COUNTY COMMISSIONERS
County of Monroe � ��r�i
�r � s�� Mayor Heather Carruthers,District 3
The Florida.Keys Mayor Pro Tem Michelle Coldiron,District 2
Craig Cates,District 1
David Rice,District 4
Sylvia J.Murphy,District 5
County Commission Meeting
August 19, 2020
Agenda Item Number: S.1
Agenda Item Summary #7202
BULK ITEM: Yes DEPARTMENT: Budget and Finance
TIME APPROXIMATE: STAFF CONTACT: Christina Brickell (305) 292-4466
N/A
AGENDA ITEM WORDING: Approval to advertise a Budget Amendment for the Law
Enforcement Trust Fund, Fund 162 . The budget amendment is needed to accommodate the new
directive issued by the Department of Justice and the Department of Treasury to transition the
Sheriffs equitable sharing accounts to the county finance offices.
ITEM BACKGROUND: The Department of Justice's Money Laundering and Asset Recovery
Section (MLARS) and the Department of the Treasury Executive Office for Asset Forfeiture
(TEOAF) has notified Florida Sheriff's that the law enforcement agency's governing body and not
the law enforcement agency—must maintain and administer equitable sharing funds.
This separation in the roles and responsibilities of each --the governing body that maintains the
funds and the law enforcement agency that accounts for the use of these funds --provides the checks
and balances necessary to ensure that the funds are spent in accordance with the governing body's
appropriations policies and procedures, and are included in the jurisdiction's Single Audit.
This will be handled the same way our Law Enforcement Trust Fund (LETF) monies are handled.
Monies will be requested through the approval process by the BOCC and a wire transfer to MCSO
once approved.
PREVIOUS RELEVANT BOCC ACTION: On September 18, 2019, the BOCC approved the
FY20 Operating and Capital Budget.
CONTRACT/AGREEMENT CHANGES:
N/A
STAFF RECOMMENDATION: Approval
DOCUMENTATION:
FL Sheriffs Maint and Admin of Federal Equitable Sharing Funds Letter
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S.1
Sheriff Federal Forfeiture Balance Sheet 09-30-19
Sheriff Federal Forfeiture Balance Sheet 08-04-20
Revised Federal Forfeiture Cash Balances
Fund 162 Law Enforcement Trust Fund - Fund Balance Sheet
FINANCIAL IMPACT:
Effective Date:
Expiration Date:
Total Dollar Value of Contract:
Total Cost to County:
Current Year Portion:
Budgeted:
Source of Funds:
CPI:
Indirect Costs:
Estimated Ongoing Costs Not Included in above dollar amounts:
Revenue Producing: If yes, amount:
Grant:
County Match:
Insurance Required: N/A
Additional Details:
REVIEWED BY:
Tina Boan Completed 08/10/2020 10:59 AM
Christine Limbert Completed 08/10/2020 1:32 PM
Purchasing Completed 08/10/2020 2:35 PM
Maria Slavik Completed 08/10/2020 4:08 PM
Kathy Peters Completed 08/11/2020 10:56 AM
Board of County Commissioners Pending 08/19/2020 9:00 AM
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r
Washington,D.C.20005
Dear Florida Sheriff:
The Department of Justice's Money Laundering and Asset Recovery Section (MLARS)
and the Department of the Treasury Executive Office for Asset Forfeiture (TEOAF)value your
agency's important partnerships with federal law enforcement and your participation in the
equitable sharing program (Program). We work together to use asset forfeiture to punish and
deter criminal activity by depriving criminals of property used in or acquired through illegal c
activities. The Program also provides opportunities to enhance cooperation among federal, state,
and local law enforcement. Accordingly, we must all ensure that we administer the asset
forfeiture and equitable sharing programs professionally, lawfully, and in a manner consistent
with sound public policy.
We are writing to update you on developments affecting Florida sheriffs' offices and the ,
structure of their participation in the Program. Specifically, Florida sheriffs, working in
coordination with MLARS and TEOAF, will be required to transition their equitable sharing
accounts to their respective county finance offices. This will assist in ensuring full compliance u
with Program policies, and improving transparency, integrity, and oversight of federal funds.
We appreciate the opportunity to explain the developments and to continue our strong working
relationships with Florida sheriffs. v)
m
Recently, MLARS discussed Florida sheriffs' maintenance and administration of federal
equitable sharing funds with Sheriff Bob Gualtieri, the President of the Florida Sheriffs Cr
Association. As background, these discussions began after the October 2019 issuance of an
Equitable Sharing Wire that contained information to reinforce and clarify existing policy
requirements that the law enforcement agency's governing body —and not the law enforcement
agency —must maintain and administer equitable sharing funds. The Department of Justice and -
the Department of the Treasury joint Guide to Equitable Sharing for State, Local, and Tribal S
Law Enforcement Agencies (July 2018) (Guide), Sec. VLA.1,provides that a state or local law
enforcement agency participating in the Program must:
[m]anntain equitable sharing funds with the same entity that maintains the
agency's appropriated funds and administers procurement actions. Bank
accounts, checkbooks,purchase cards, and other financial instruments or
documents must be maintained in the same manner as appropriated funds.
[Emphasis added.]
This separation in the roles and responsibilities of each --the governing body that U-
maintains the funds and the law enforcement agency that accounts for the use of these funds --
provides the checks and balances necessary to ensure that the funds are spent in accordance with
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Maintenance and Administration of Federal Equitable Sharing Funds 2 N
the governing body's appropriations policies and procedures, and are included in the
jurisdiction's Single Audit. U-
2-
0
We understand that Sheriff Gualtieri believes that Florida sheriffs are in technical
compliance with the Guide policy based on the process by which Florida sheriffs' offices receive °i
E
appropriated funds. Under Florida state law, county governments transfer appropriated funds
directly to each sheriff's office, and they do not maintain the sheriffs' appropriated funds.
Florida state law, however, requires the governing body to maintain state forfeiture funds for any
Florida law enforcement agency, including sheriffs. Accordingly, Florida sheriffs, working in
coordination with MLARS and TEOAF, will transition their equitable sharing accounts to their
respective counties, and counties will administer the federal equitable sharing funds. Just as the
county commissioners must approve expenditures of state forfeiture funds, they also will be T
required to approve expenditures of federal forfeiture funds. All expenditures of federal >
equitable sharing funds must comply with the Guide.
0
This transition of accounts does not change the Program policy requiring the law 76
enforcement agency head, or designee, to authorize all expenditures from the sharing accounts. 2
See Guide, Sec. VLA.9. The head of the law enforcement agency, however, must obtain
approval for expenditures from the governing body, as required by state law. See Guide, Sec.
VI.A.10. 2
In addition, MLARS and TEOAF will work with the Florida sheriffs regarding their
procurement policies and procedures involving equitable sharing funds. Sheriff Gualtieri
explained that Florida state law authorizes sheriffs, and not the county government, to handle all U-,
procurement actions for the sheriffs' offices. As a result, MLARS and TEOAF will allow
sheriffs to make procurements using federal equitable sharing funds subject to internal policies
and procedures promulgated by the sheriffs' offices and county appropriation policies and
procedures for approvals.
Cr
At the invitation of Sheriff Gualtieri, MLARS and TEOAF will sponsor webinars through
the Florida Sheriffs Association over the next several weeks for personnel in the sheriffs' offices
and the county finance offices to discuss the county's financial management and reporting
requirements. The webinars will provide an opportunity to ask questions and seek advice from U-
MLARS and TEOAF. c
All agencies must transition their accounts to the county finance office by
September 30, 2020, when the fiscal year ends for the state of Florida. Please contact MLARS
by email at iulars.es rograiu�a,usdo�.gov and TEOAF at treas.aca�a,treasur gov, if you have any
questions.
MLARS and TEOAF value your agency's important partnerships with federal law
enforcement, and appreciate your efforts to promote integrity and transparency in this vital law
enforcement Program. We also want to thank and acknowledge the efforts of Sheriff Gaultieri v)
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Maintenance and Administration of Federal Equitable Sharing Funds 3 N
on behalf of the Florida Sheriffs Association. He has been a strong advocate for all the sheriffs
in the state of Florida. U-
2-
0
Sincerely, Sincerely,
DEBORAH Digitally signed by DEBORAH CONNOR John M• M.FarDigitallleyigned by JohnDate:20 E
200.07
CONNOR 14:57:55-04'00'4 7
Farley 0t1620-04'00'S
Deborah Connor, Chief John Farley, Director
Money Laundering and Asset Executive Office for Asset Forfeiture
Recovery Section U.S. Department of the Treasury T
U.S Department of Justice >
0
76
2
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Packet Pg. 3473
8/6/2020 09:07:58AM Monroe County Sheriff's Office
Federal Treasury & Justice
Balance Sheet
Actual
as of
9/30/2019
r
Assets
07-605-1010-10137 Centennial Cash-Federal Asset-Justice $20,255.02 L_
0
07-605-2000-10135 Centennial Cash-Federal Asset-Treasury $3,054,039.87
07-605-4000-10129 Centennial Cash-SF LETF Justice $157,594.11 dy
07-605-5000-10136 Centennial Cash-SF LETF Treasury $655,826.73
Total Assets $3,887,715.73 47
Liabilities and Net Assets
Liabilities Ch
Ch
07-605-0000-20100 Vouchers Payable $40,635.00
07-605-0000-20200 Accounts Payable-Manual $6,481.68
0
07-605-0000-20700 Due to General Fund $152,822.82
Total Liabilities $199,939.50
Net Assets
P'
07-605-0000-27100 Fund Balance $3,687,776.23
Total Net Assets $3,687,776.23 Q
Total Liabilities and Net Assets $3,887,715.73
U
BEGINNING BALANCE WITH CURRENT YEAR ADJUSTMENTS $3,167,770.19 _
0)
It
NET SURPLUS/(DEFICIT) $520,006.04 _
ENDING NET ASSETS $3,687,776.23
U
Packet Pg. 3474
8/6/2020 9:07:58AM Monroe County Sheriff's Office s.1.b 2
Federal Treasury & Justice
Balance Sheet
Report name:Balance Sheet Justice&Treasury
Chart template:Default
Include account levels 1 to 6 _
Do not include accounts with zero balances
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User has access to all Projects
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Column 1 criteria:
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Heading: CD
Definition:Account Number
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Heading:
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Column 3 criteria:
Heading:Actual
as of
9/30/2019
Include these dates:9/30/2019
Definition:{Actual}
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Packet Pg. 3475
8/4/2020 02:45:09PM Monroe County Sheriff's Office S
Federal Treasury & Justice
Balance Sheet
Actual
as of
8/4/2020 CV
r
Assets
07-605-1010-10137 Centennial Cash-Federal Asset-Justice $20,463.07 L_
0
07-605-2000-10135 Centennial Cash-Federal Asset-Treasury $2,769,484.02
07-605-4000-10129 Centennial Cash-SF LETF Justice $159,212.82 dy
07-605-5000-10136 Centennial Cash-SF LETF Treasury $1,068,175.18
Total Assets $4,017,335.09 47
Liabilities and Net Assets
Net Assets Ch
Ch
07-605-0000-27100 Fund Balance $4,017,335.09
Total Net Assets $4,017,335.09
0
0
Total Liabilities and Net Assets $4,017,335.09
CD
BEGINNING BALANCE WITH CURRENT YEAR ADJUSTMENTS $3,687,776.23
00
CD
NET SURPLUS/(DEFICIT) $329,558.86 0)
ENDING NET ASSETS $4,017,335.09 0)
0
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Packet Pg. 3476
8/4/2020 2:45:09PM Monroe County Sheriff's Office s.1.c 2
Federal Treasury & Justice
Balance Sheet
Report name:Balance Sheet Justice&Treasury
Chart template:Default
Include account levels 1 to 6 _
Do not include accounts with zero balances
C9
Do not include inactive accounts r
User has access to all accounts
User has access to all Projects
Il
Include these Divisions:07 L-
Include all Account Codes
Include all Accounts
Include all Account Attributes
E
Include all Projects
Include all Project Attributes
Include all Transaction Attributes E
Include all Classes
Include all Journals
Include these Not Yet Posted Transactions:<None>
Include all Cash Flow Codes
Include all Working Capital Codes (U
Include all Contract Year(s) (V
Include all Project Types
Include all Project Statuses
Include all Project Divisions
Include all Project Departments (B
Include all Project Locations 0
Include all Dept(s)
Include these Fund/Proj(s):605
Column 1 criteria:
CD
Heading:
Definition:Account Number
dl7
Column 2 criteria:
Heading:
Definition:Account Description
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Column 3 criteria:
Heading:Actual
as of
8/4/2020
Include these dates:8/4/2020
Definition:{Actual}
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Packet Pg. 3477
S.1.d
Federal Asset Forfeiture Account Balances
Federal Treasury $ 2,854,100.37
Federal Justice $ 20,255.02
SF Treasury $ 655,826.73
SF Justice $ 157,594.11
Cash Balance as of 09/30/2019 $ 3,687,776.23
0
Federal Treasury $ 2,762,134.02 (?, st.:i,(�)
Federal Justice $ 20,463.07
SF Treasury 15 1068 17 sA8
SF Justice 10 159212,82
Cash Balance as of 08/6/2020 $ 4,009,985.09 >
0
76
Invoice to be paid next week 10 (7,3 st.:i,(�)
CJ
Final Cash balance 15 4009985M
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