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Report No. 09023, Former Property Appraiser 9023 STATE OF FLORIDA OFFICE OF THE AUDITOR GENERAL e-THE sr�r • *** MONROE COUNTY *** FORMER PROPERTY APPRAISER For the Period October 1 , 1975 to September 30 , 1976 9023 STATE OF FLORIDA OFFICE OF THE AUDITOR GENERAL Report on Audit of the Accounts of the MONROE COUNTY FORMER PROPERTY APPRAISER For the Period October 1 , 1975 to September 30 , 1976 Dated: June 14 , 1977 .W' 4% STATE OF FLORIDA atitl• '°. OFFICE OF THE AUDITOR GENERAL ti°°°wslM Tallahassee, Florida ERNEST ELLISON,C.P. A. June 14 , 1977 Auortow GFNERAL The Legislative Auditing Committee of the Legislature and the Governor of Florida Sirs: Pursuant to the provisions of Section 11 .45 , Florida Statutes, I have directed that an audit be made of the accounts and records of the HONORABLE JOE ALLEN MONROE COUNTY FORMER PROPERTY APPRAISER For the Period Beginning October 1 , 1975 , and Ending September 30 , 1976 , the Date of His Resignation, Par. No. and present this report thereon. SCOPE AND OPINION (1) I have examined the financial statements of the General (Operating) Fund of the Monroe County former Property Appraiser for the fiscal year ended September 30 , 1976 . My examination was made in accordance with generally accepted auditing standards and , accordingly, included such tests of the accounting records and such other auditing procedures as I considered necessary in the circumstances. (2) In my opinion, the accompanying financial statements present fairly the financial position of the General (Operating) Fund of the Monroe County former Property Appraiser at September 30 , 1976 , and the results of operations of the General (Operating) Fund for the year then ended, in conformity with generally accepted accounting principles applied on a basis consistent with that of the previous year . 1 Par. No. FINANCIAL POSITION (3) The financial position of the General (Operating) Fund at September 30 , 1976 , is shown on exhibit A. (4) Liabilities and fund balance at September 30 , 1976 , and the transactions in settlement thereof were as follows: Liabilities and Fund Balance at September 30, 1976 Balance Due Various Taxing Authorities $ 7,168.87 Unexpended Budget Receipts (Fund Balance) 117,070.28 Checks Written Prior to September 30, 1976, and not Paid by Bank Prior to Transfer of Bank Account : Florida First National Bank 2,373.99 Key West State Bank 227.08 Total $126,840.22 Resources Transferred Cash Transferred by Check Dated October 20, 1976, Drawn on The Islamorada Bank $ 7,614.32 Cash in Banks: Florida First National Bank - Account Transferred October 1, 1976 17,538. 13 Key West State Bank - Account Transferred January 19, 1977 28,274.27 Due from Board of County Commissioners 973.74 Transactions from October 1, 1976 to January 19, 1977, Made by Successor in Account in Key West State Bank (Prior to Transfer of Account to Successor) : Checks Written for Office Operating Expenses and Which Were Paid by Bank $101,148.79 Less, Office Revenues Deposited in Account 28,709.03 72,439.76 Total $126,840.22 FINANCIAL OPERATIONS Tax Rolls (5) An examination of the procedures and methods used by the former Property Appraiser in the valuation of property and a determination of the accuracy of his valuations shown on the tax rolls are not included in the scope of this audit. 2 Par. No. (6) Corrections to the tax rolls by the former Appraiser , after delivery of the tax rolls to the Tax Collector , were made in accordance with Section 12B-1 .139 (Section 12D-12.42 , effective October 12 , 1976) , Rules of the Department of Revenue. (7) The valuations on the county tax rolls for the years in the audit period , as shown on the former Appraiser ' s recapitulations, are summarized as follows: Valuations Tax Roll Recaps 1974 1975 Countywide Nonexempt $ 682 ,741 ,498 $ 735 ,968,687 Constitutional Homestead Exempt 40 ,605 ,650 43 ,396 ,100 Homestead Exempt, Section 196 .031 (3) , Florida Statutes 8 ,416 ,000 9 ,331 ,100 Other Exempt 298,003,313 314 ,373 ,149 Total Assessed Valuations $1 ,029 ,766 ,461 $1 ,103 ,069 ,036 Budget (8) Budgets and budget amendments were prepared and submitted to the Department of Revenue as prescribed by Section 195 .087 , Florida Statutes. (9) A comparison of budgeted with actual amounts is shown on exhibit B. Revenues and Expenditures (10) The financial report of revenues and expenditures for the fiscal year 1975-76 , was filed pursuant to the provisions of Section 218 .36 , Florida Statutes. Compensation (11) The former Property Appraiser received compensation of $24 ,480 as provided by Chapter 145 , Florida Statutes. Retirement and Social Security (12) The office of the former Property Appraiser remitted the full contribution for members of the Florida Retirement System, as required by Section 121 .071 , Florida Statutes. Social security contributions were properly deducted from salaries paid to eligible employees. These contributions, together with the contributions for the former Appraiser ' s personal account and the required matching funds, were remitted on a timely basis. 3 Par . No. RECORDS AND INTERNAL CONTROL (13) Financial records generally complied with the requirements of Chapter 219 , Florida Statutes. (14) The records and procedures provided reasonable internal control for the former Property Appraiser ' s office. EXHIBITS The following exhibits are attached to and form part of this report: EXHIBIT - A General (Operating) Fund - Balance Sheet. EXHIBIT - B General (Operating) Fund - Statement of Revenues and Expenditures. EXHIBIT - C General (Operating) Fund - Statement of Changes in Fund Balance. EXHIBIT - D Summary of Significant Accounting Policies. Respectfully submitted, (Signed) Ernest Ellison, C.P.A. Auditor General Audit supervised by: (Signed) Willard G. Hale Audit made by: (Signed) Jose F. Montes-de-Oca 4 MONROE COUNTY EXHIBIT - A FORMER PROPERTY APPRAISER GENERAL (OPERATING) FUND BALANCE SHEET September 30, 1976 ASSETS Cash in Banks $123,265.41 Due from Board of County Commissioners 973.74 TOTAL $124,239.15 LIABILITIES AND FUND BALANCE Liabilities: Balance Due Various Taxing Authorities $ 7,168.87 Fund Balance 117,070.28 TOTAL $124,239.15 See accompanying summary of significant accounting policies. 5 EXHIBIT - B MONROE COUNTY FORMER PROPERTY APPRAISER GENERAL (OPERATING) FUND STATEMENT OF REVENUES AND EXPENDITURES For the Year Ended September 30, 1976 Budget Actual Over (Under) Budget Revenues: From Governmental Units: Board of County Commissioners $460,824.14 $460,824.14 $ School Interest and Sinking Fund 11,263.63 11,263.63 Mosquito Control District 37,042.10 37,042.10 Hospital District 15,389.09 18,936.88 3,547.79 Waste Control District 23,227.07 23,227.07 Flood Control District 269.97 269.97 Total from Governmental Units $548,016.00 $551,563.79 $ 3,547.79 Tax Redemptions 2,825.90 2,825.90 Mobile Home RP Tags 65.00 65.00 Other Income 257.00 257.00 Total Revenues $548,016.00 $554,711.69 $ 6,695.69 Expenditures: Salaries and Benefits: Salary of Property Appraiser $ 24,480.00 $ 24,480.00 $ Other Salaries 330,756.00 313,572.48 (17,183.52) Total Salaries and Benefits $355,236.00 $338,052.48 $ (17,183.52) Other Personal Services: Temporary Employment $ 11,680.00 $ 6,563.99 $ (5,116.01) Professional Fees: Appraisal Services 3,800.00 3,729.06 (70.94) Legal Services 10,000.00 2,100.00 (7,900.00) Contingency Contracted Services 28,700.00 (28,700.00) Total Other Personal Services $ 54 180.00 $ 12,393.05 $ (41,786.95) Expenses: Postage $ 9,000.00 $ 7,151.15 $ (1,848.85) Telephone 3,600.00 2,753.68 (846.32) Printing and Reproduction 2,000.00 1,837.56 (162.44) Repairs and Maintenance 6,500.00 6,310.85 (189.15) Travel 7,500.00 6,201.41 (1,298.59) Data Processing 40,000.00 19,064.61 (20,935.39) Motor Fuels and Lubricants 17,500.00 10,915.85 (6,584.15) Office Materials and Supplies 7,500.00 3,819.50 (3,680.50) Insurance and Surety Bonds 3,000.00 (3,000.00) Rental - Office Equipment 5,000.00 3,843.51 (1,156.49) Association Dues 800.00 794.40 (5.60) Education and Training 1,600.00 976.00 (624.00) Unemployment Compensation 1,700.00 (1,700.00) . Film and Development 4,000.00 2,996.08 (1,003.92) Miscellaneous 3,900.00 3,040.29 (859.71) Total Expenses $113,600.00 $ 69,704.89 $ (43,895.11) 6 MONROE COUNTY EXHIBIT - B FORMER PROPERTY APPRAISER (Continued) GENERAL (OPERATING) FUND STATEMENT OF REVENUES AND EXPENDITURES For the Year Ended September 30, 1976 Budget Actual Over (Under) Budget Expenditures (Continued): Operating Capital Outlay: Motor Vehicles $ 15,000.00 $ 13,128.00 $ (1,872.00) Office Furniture and Equipment 10,000.00 4,362.99 (5,637.01) Total Operating Capital Outlay $ 25,000.00 $ 17,490.99 $ (7,509.01) Total Expenditures $548,016.00 $437,641.41 $(110,374.59) Excess of Revenues Over Expenditures $ - - $117,070.28 $ 117,070.28 See accompanying summary of significant accounting policies. 7 EXHIBIT - C MONROE COUNTY FORMER PROPERTY APPRAISER GENERAL (OPERATING) FUND STATEMENT OF CHANGES IN FUND BALANCE For the Year Ended September 30, 1976 Fund Balance, October 1, 1975 $100,750.64 Add: Excess of Revenues Over Expenditures 117,070.28 Total Balance and Additions $217,820.92 Deduct: Reversion of Excess of Revenues Over Expenditures for Fiscal Year 1974-75 to Taxing Authorities 100,750.64 Fund Balance, September 30, 1976 $117,070.28 See accompanying summary of significant accounting policies. 8 MONROE COUNTY EXHIBIT - D FORMER PROPERTY APPRAISER SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES September 30, 1976 The significant accounting policies followed by the Monroe County former Property Appraiser are described below to enhance the usefulness of the financial statements to the reader: Basis of Accounting. The former Property Appraiser's financial records were maintained on the cash basis of accounting whereby revenues are recognized only when cash is received and expenditures are recognized when cash is disbursed. The accompanying financial statements are presented on the cash basis of accounting. Former Property Appraiser's Compensation and Excess Income Distribution. The former Property Appraiser's office was on a budget system. His salary was guaranteed as specified in Section 145.10, Florida Statutes, and was appropriated as part of the budget. The excess income was distributed to the governmental units in proportion to that governmental unit's contribution to the former Property Appraiser's budget. Tangible Personal Property. Acquisitions of tangible personal property were recorded as expenditures in the General (Operating) Fund at time of purchase. Such assets are reported to and capitalized by the Board of County Comnissioners and consequently are not shown on the former Property Appraiser's records. Retirement Plans. The former Property Appraiser and employees of his office are members of one of the retire- ment plans administerd by the State of Florida, Department of Administration, Division of Retirement. These plans required contributions by the office of the former Property Appraiser at a stated percentage of compensation dependent upon the individual plan. 9