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HomeMy WebLinkAboutFiscal Year 2025 20 - 5 Monroe County, Florida Tax Collector Financial Statemeis and Independent Auditor's For the Year Ended September 30, 2025 PURVIs GiIAY IIE R U II IF"II E IL) F!° U IB L IV C A C C 0 U Vow II A N � K8C]NRQE COUNTY, FLORIDA TAX COLLECTOR FINANCIAL STATEMENTS AND INDEPENDENT AUDITOR'S REPORT FOR THE YEAR ENDED 8EPTEK8BER 30\2026 TABLE C]FCONTENTS Independent Auditor's Report..................................................................................................................1'3 Financial Statements Balance Sheet—General Fund...................................................................................................................4 Statement of Revenues, Expenditures and Changes in Fund Balance—General Fund..............................................................................................5 Statement ofFiduciary Net Position— CustodialFunds......................................................................................................................................6 Statement of Changes in Fiduciary Net Position— CustodialFunds......................................................................................................................................7 Notes to Financial Statements..............................................................................................................8'13 Required Supplementary Information (Unaudited) Schedule of Revenues and Expenditures— Budget to Actual—General Fund ......................................................................................................... 14 Supplementary Information Combining Statement ofFiduciary Net Position— CustodialFunds.................................................................................................................................... 15 Combining Statement of Changes in Fiduciary Net Position— CustodialFunds.................................................................................................................................... 16 Other Reports Independent Auditor's Report on Internal Control Over Financial Reporting and on Compliance and Other Matters Based onan Audit of Financial Statements Performed in Accordance with Government Auditing Standards.....................................................................17'18 Independent Accountant's Report on Compliance with Florida Statutes Sections Z18.415, Investments of Public Funds......................................................... 19 uuuuu U R V I s G AY INDEPENDENT AUDITOR'S REPORT To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida Report on the Audit of the Financial Statements Opinions We have audited the accompanying financial statements of the general fund and the aggregate remaining fund information of the Monroe County, Florida Tax Collector (the Tax Collector) as of and for the year ended September 30, 2025, and the related notes to the financial statements,which collectively comprise the Tax Collector's financial statements as listed in the table of contents. In our opinion, the financial statements referred to above present fairly, in all material respects, the respective financial position of the general fund and the aggregate remaining fund information of the Tax Collector as of September 30, 2025, and the respective changes in financial position for the year then ended in accordance with accounting principles generally accepted in the United States of America. Basis for Opinions We conducted our audit in accordance with auditing standards generally accepted in the United States of America (GAAS) and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Our responsibilities under those standards are further described in the Auditor's Responsibilities for the Audit of the Financial Statements section of our report. We are required to be independent of the Tax Collector and to meet our other ethical responsibilities in accordance with the relevant ethical requirements relating to our audit. We believe that the audit evidence we have obtained is sufficient and appropriate to provide a basis for our audit opinions. 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(the Rules)of the State of Florida. In conformity with the Rules, the accompanying financial statements are intended to present the financial position and changes in financial position of the general fund and the aggregate remaining fund information,only for that portion of the general fund,and the aggregate remaining fund information, of Monroe County, Florida that is attributable to the Tax Collector. They do not purport to, and do not, present fairly the financial position of Monroe County, Florida as of September 30, 2025, and the changes in its financial position for the fiscal year then ended in conformity with accounting principles generally accepted in the United States of America. Our opinion is not modified with respect to this matter. Responsibilities of Management for the Financial Statements Management is responsible for the preparation and fair presentation of the financial statements in accordance with accounting principles generally accepted in the United States of America, and for the design, implementation and maintenance of internal control relevant to the preparation and fair presentation of financial statements that are free from material misstatement, whether due to fraud or error. CERTIFIECD PUBLIC ACCOUNTANTS 6'aiz°csvffle � Oca ar �� 'i°aflahaassee �� Sarasol.a � Oria.un� to I I;'sampa purrvisgray.com Vunuul��u°u aa�Aromzruaw) Floridafins'kfluu°a,of,� I ubtiic AartQuamaoor s 1 To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida INDEPENDENT AUDITOR'S REPORT In preparing the financial statements, management is required to evaluate whether there are conditions or events, considered in the aggregate, that raise substantial doubt about the Tax Collector's ability to continue as a going concern for twelve months beyond the financial statement date, including any currently known information that may raise substantial doubt shortly thereafter. Auditor's Responsibilities for the Audit of the Financial Statements Our objectives are to obtain reasonable assurance about whether the financial statements as a whole are free from material misstatement, whether due to fraud or error, and to issue an auditor's report that includes our opinion. Reasonable assurance is a high level of assurance but is not absolute assurance and, therefore, is not a guarantee that an audit conducted in accordance with GAAS and Government Auditing Standards will always detect a material misstatement when it exists. The risk of not detecting a material misstatement resulting from fraud is higher than for one resulting from error, as fraud may involve collusion, forgery, intentional omissions, misrepresentations or the override of internal control. Misstatements are considered material if there is a substantial likelihood that, individually or in the aggregate, they would influence the judgment made by a reasonable user based on the financial statements. In performing an audit in accordance with GAAS and Government Auditing Standards, we ■ Exercise professional judgment and maintain professional skepticism throughout the audit. ■ Identify and assess the risks of material misstatement of the financial statements, whether due to fraud or error, and design and perform audit procedures responsive to those risks. Such procedures include examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. ■ Obtain an understanding of internal control relevant to the audit 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 Tax Collector's internal control. Accordingly, no such opinion is expressed. ■ Evaluate the appropriateness of accounting policies used and the reasonableness of significant accounting estimates made by management, as well as evaluate the overall presentation of the financial statements. ■ Conclude whether, in our judgment,there are conditions or events, considered in the aggregate,that raise substantial doubt about the Tax Collector's ability to continue as a going concern for a reasonable period of time. We are required to communicate with those charged with governance regarding, among other matters, the planned scope and timing of the audit, significant audit findings, and certain internal control-related matters that we identified during the audit. Required Supplementary Information Accounting principles generally accepted in the United States of America require that budgetary comparison schedule be presented to supplement the financial statements. Such information is the responsibility of management and, 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 2 To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida INDEPENDENT AUDITOR'S REPORT 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 consistencywith management's responsesto our inquiries,thefinancial 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. Management has omitted the management's discussion and analysis that accounting principles generally accepted in the United States of America require to be presented to supplement the financial statements. Such missing 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. Our opinions on the financial statements are not affected by the missing information. Supplementary Information Our audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Tax Collector's financial statements. The accompanying combining statements, as listed in the table of contents, are presented for purposes of additional analysis and are not a required part of the financial statements. Such information is the responsibility of management and was derived from and related directly to the underlying accounting and other records used to prepare the financial statements. The information has been subjected to the auditing procedures applied in the audit of the financial statements and certain additional procedures, including comparing and reconciling such information directly to the underlying accounting and other records used to prepare the financial statements or to the financial statements themselves, and other additional procedures in accordance with auditing standards generally accepted in the United States of America. In our opinion, the combining statements are fairly stated in all material respects in relation to the financial statements as a whole. Other Reporting Required by Government Auditing Standards In accordance with Government Auditing Standards, we have also issued our report dated February 20, 2026, on our consideration of the Tax Collector's internal control over financial reporting and on our tests of its compliance with certain provisions of laws, regulations, contracts and grant agreements, and other matters. The purpose of that report is solely 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 effectiveness of the Tax Collector's internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with GovernmentAuditing Standards in considering the Tax Collector's internal control over financial reporting and compliance. Purvis! February 20, 2026 Sarasota, Florida 3 FINANCIAL STATEMENTS MONROE COUNTY, FLORIDA TAX COLLECTOR BALANCE SHEET GENERAL FUND SEPTEMBER 30,2025 ASSETS Assets Cash $ 7,689,900 Due from Other Governments 811 Total Assets 7,690,711 LIABILITIES AND FUND BALANCE Liabilities Accounts Payable $ 27,584 Accrued Wages and Benefits Payable 129,701 Unearned Revenue 39,465 Due to Board of County Commissioners 6,924,723 Due to Other Governmental Units 569,238 Total Liabilities 7,690,711 Fund Balance - Total Liabilities and Fund Balance $ 7,690,711 See accompanying notes. 4 MONROE COUNTY, FLORIDA TAX COLLECTOR STATEMENT OF REVENUES, EXPENDITURES AND CHANGES IN FUND BALANCE GENERAL FUND FISCAL YEAR ENDED SEPTEMBER 30,2025 Revenues Charges for Services $ 3,019,760 Intergovernmental-Board of County Commissioners 10,642,604 Total Revenues 13,662,364 Expenditures Current: Personnel Services 5,090,116 Operating Expenditures 1,256,350 Debt Service: Principal 132,201 Interest and Other Charges 14,129 Capital Outlay 2,403,596 Total Expenditures 8,896,392 Excess of Revenues Over Expenditures 4,765,972 Other Financing Sources(Uses) Lease/SBITA Financing 2,158,751 Transfers to Board of County Commissioners (6,924,723) Total Other Financing Sources(Uses) (4,765,972) Net Change in Fund Balance - Fund Balance,Beginning of Year - Fund Balance,End of Year $ - See accompanying notes. 5 MONROE COUNTY, FLORIDA TAX COLLECTOR STATEMENT OF FIDUCIARY NET POSITION CUSTODIAL FUNDS SEPTEMBER 30,2025 Assets Cash $ 10,801,129 Due from Individuals 269 Total Assets 10,801,398 Liabilities Undistributed Collections 10,596,471 Due to Individuals 204,927 Total Liabilities 10,801,398 Net Position $ - See accompanying notes. 6 MONROE COUNTY, FLORIDA TAX COLLECTOR STATEMENT OF CHANGES IN FIDUCIARY NET POSITION CUSTODIAL FUNDS FISCAL YEAR ENDED SEPTEMBER 30,2025 Additions Property Taxes and Fees Collected $ 530,230,306 Licenses and Tag Fees Collected 17,737,354 Total Additions 547,967,660 Deductions Property Taxes and Fees Paid 530,230,306 Licenses and Tag Fees Paid 17,737,354 Total Deductions 547,967,660 Net Increase(Decrease)in Fiduciary Net Position - Net Position,Beginning of Year - Net Position,End of Year $ - See accompanying notes. 7 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS Note 1 -Nature of Operations and Significant Accounting Policies Financial Reporting Entity The Monroe County, Florida (the County)Tax Collector (the Tax Collector) is a separately elected county official established pursuant to Article Vill, Section 1(d) of the Constitution of the State of Florida. These financial statements present only the Tax Collector's office and do not purport to reflect the financial position or the results of operations of the County taken as a whole. The financial statements of the Tax Collector have been prepared in accordance with accounting principles and reporting guidelines established by the Governmental Accounting Standards Board (GASB). Entity status for financial reporting purposes is governed by GASB Statement No. 14, as amended. Although the Tax Collector's office is operationally autonomous from the County, 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 Tax Collector is reported as a part of the primary government of the County. The financial activities of the Tax Collector, as a constitutional officer, are included in the County Annual Comprehensive Financial Report. Description of Funds The accounting records are organized for reporting purposes on the basis of a governmental fund and fiduciary funds. ■ General Fund—The General Fund is used to account for all revenues and expenditures applicable to the general operations of the Tax Collector that are not required legally or by accounting principles generally accepted in the United States of America (U.S. GAAP)to be accounted for in another fund. ■ Fiduciary Funds—Fiduciary funds of the Tax Collector are Custodial Funds, which are used to account for assets held by the Tax Collector in a custodial capacity. Measurement Focus, Basis of Accounting,and Financial Statement Presentation The Tax Collector's financial statements are prepared for the purpose of complying with Florida Statute Section 218.39(2), and Chapter 10.550, Rules of the Auditor General, which requires the Tax Collector to only present special purpose fund financial statements. 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 Tax Collector considers revenues to be available if they are collected within 30 days of the end of the current fiscal period. Expenditures generally are recorded when a liability is incurred,asunder accrual accounting. However, expenditures related to compensated absences, debt service including leases, pension and other postemployment benefits, and claims and judgments are recorded only when payment is due. The extent to which General Fund revenues exceed General Fund 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 Tax Collector. 8 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS The Tax Collector reports the General Fund as a major governmental fund and Custodial Funds as a fiduciary fund type. The fiduciary funds use a flow of economic resources measurement focus to determine net position. Cash The Tax Collector's cash consists of demand deposits and petty cash. All cash is insured by the Federal Deposit Insurance Corporation 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. Capital Assets Tangible personal property used in the Tax Collector's operations are 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 administrative office space used by the Tax Collector at no charge. Compensated Absences The Tax Collector permits employees to accumulate earned but unused vacation and sick pay benefits. The Tax Collector is not legally required to and does not accumulate expendable available financial resources to liquidate this obligation. The obligation is accrued in the government-wide financial statements of the County. A summary of activity for the Tax Collector's compensated absences obligation is as follows: Balance,October 1,2024 $ 358,532 Net Change 27,256 Balance,September 30,2025 S 385,788 Fund Balance Presentation In accordance with GASB Statement No. 54, the fund balances of the governmental funds indicate the level of constraints placed upon how resources can be spent and identify the sources of those constraints. This classification includes amounts that can be spent only for specific purposes because of constitutional provisions or enabling legislation or because of constraints that are externally imposed by creditors, grantors,contributors,or the laws or regulations of other governments. This consists of the following five classifications: non-spendable, restricted, committed, assigned, or unassigned. The Tax Collector first uses restricted resources, and then committed, followed by assigned and unassigned resources. Non-Spendable Fund Balance Includes amounts that cannot be spent because they are either not in spendable form, or for legal or contractual reasons, must be kept intact. This classification typically includes inventory and prepaid items. Spendable Fund Balance ■ Restricted—Includes amounts that are constrained for specific purposes which are externally imposed by providers (such as grantors or creditors) or enabling legislation. ■ Committed—Includes amounts that are constrained for specific purposes that are internally imposed by the highest level of decision-making authority, which in this case is the Tax Collector. 9 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS ■ Assigned—Includes amounts that are intended to be used for specific purposes that are not restricted or committed. Assignments can be made at the direction of the Tax Collector. ■ Unassigned— Represents fund balance that has not been assigned to other funds, and that has not been restricted, committed, or assigned to specific purposes within the General Fund. Distribution of Excess Revenues Florida Statutes provide that the excess of Tax Collector's fee revenues over expenditures is to be distributed to each governmental agency in the same proportion as the fees paid by the government agency bear to total fee income received by the Tax Collector. The amount of undistributed excess fees at the end of the fiscal year is reported as amounts due to the Board and other governmental agencies; the transfer of total excess fees to the Board and other governmental agencies is reported as other financing uses and charges with services, respectively. Leases and Subscription-Based Information Technology Arrangements(SBITA) The Tax Collector is a lessee for non-cancellable building leases. They also have SBITAs for certain key software programs needed to perform their operations. At the government-wide level, in the governmental activities opinion unit, the County recognizes a lease liability and an intangible right-to-use lease asset (lease asset). At the commencement of a lease, the Tax Collector and the County initially measure the lease liability at the present value of payments expected to be made during the lease term. Subsequently, the lease asset is amortized on a straight-line basis over its useful life. At the fund level, the Tax Collector recognizes an expenditure and other financing source in the period the lease is initially recognized. Annually, lease payments are recorded as principal and interest payments when made. Key estimates and judgments related to leases include how the Tax Collector and County determine: (1) the rate used to discount the expected lease payment to present value, (2) lease term, and (3) lease payments. ■ The Tax Collector and County use the interest rate charged by the lessor as the discount rate. When the interest rate charged by the lessor is not provided,the Tax Collector and County generally use the estimated incremental borrowing rate as the discount rate for the leases. ■ The lease term includes the non-cancellable period of the lease. Lease payments include the measurement of the lease liability and are composed of the fixed payments and purchase option price that the Tax Collector and County are reasonably certain to exercise. Use of Estimates The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenditures during the reporting period. Actual results could differ from estimates. New Accounting Pronouncements For the year ended September 30, 2025, the Tax Collector implemented GASB Statement Nos. 101, Compensated Absences, and 102, Certain Risk Disclosures. GASB Statement No. 101 updates the recognition and measurement guidance for compensated absences, achieved by aligning the recognition and measurement under a unified model and by amending certain previously required disclosures. There 10 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS was no impact to the Tax Collector's financial statements as a result of the adoption of this statement. GASB Statement No. 102 intends to improve financial reporting by providing users of the financial statements with timely information regarding certain concentrations or constraints and related events that have occurred or have begun to occur that make a government vulnerable to a substantial impact. There was no impact to the Tax Collector's financial statements as a result of the adoption of this statement. The following are new accounting pronouncements that have been issued but are not yet effective: ■ 6AS8 Statement No. 103,Financial Reporting Model Improvements The objective of this statement is to improve key components of the financial reporting model to enhance its effectiveness in providing information that is essential for decision-making and assessing a government's accountability. This statement also addresses certain application issues. The requirements of this statement are effective for fiscal years beginning after June 15, 2025, and all reporting periods thereafter. Earlier application is permitted. ■ 6AS8 Statement No. 104,Disclosure of Certain Capital Assets The objective of this statement is to provide users of governmental financial statements with essential information about certain types of capital assets. This statement also requires additional disclosures for certain types of capital assets. This statement also requires additional disclosures for certain capital assets held for sale. A capital asset is held for sale if: (a)the government has decided to pursue the sale of the capital assets, and (b) it is probable that the sale will be finalized within one year of the financial statement date. Governments should consider relevant factors to evaluate likelihood of the capital asset being sold within the established timeframe. The requirements of this statement are effective for the fiscal years beginning after June 15, 2025. Management is in the process of determining what impact, if any, implementation of the above statements may have on the financial statements of the Tax Collector. Subsequent Events The Tax Collector has evaluated subsequent events through February 20, 2026, in connection with the preparation of these financial statements,which is the date the financial statements were available to be issued. Note 2-Deposits and Investments The Tax Collector 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 government agencies unconditionally guaranteed by the U.S. government. As of September 30, 2025, the carrying amount of the Tax Collector's deposits was $18,477,929 ($7,676,800 in the General Fund and $10,801,129 in the Custodial Funds) with a bank balance of $17,761,093. In addition to cash deposits, the Tax Collector maintains cash on hand for the purpose of making change on transactions and held $13,100 in cash on hand. 11 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS Note 3-Retirement Plans The Tax Collector participates in the Florida Retirement System for pension benefits. A detailed plan description and any liability for employees of the Tax Collector are included in the financial statements of the County. Note 4-Postemployment Benefits Other Than Pensions The Tax Collector participates in the plan established by the Board to provide other postemployment benefits to retirees of the Board of Constitutional Officers. A detailed plan description and any liability for employees of the Tax Collector are included in the financial statements of the County. Note 5 -Risk Management The Tax Collector 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 Tax Collector participates in the coverage provided by the Board for Workers' Compensation, Group Insurance, and Risk Management internal service funds. Under these programs, the 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 cost 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 Tax Collector 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-Lease and SBITA Commitments The Tax Collector leases office space under cancelable arrangements that qualify as other than short-term leases under GASB Statement No.87 and,therefore, have been recorded at the present value of the future minimum lease payments as of the date of their inception. They also have one SBITA for software used in their operations that has been recognized in the current year in accordance with the provisions of GASB Statement No. 96. The Tax Collector had three lease agreements and one SBITA for the year ended September 30, 2025. The liability noted below is reported in the County's government-wide governmental activities opinion unit and is not reported on the Tax Collector's fund level financial statements. The future minimum lease obligations and the net present value of these minimum lease payments as of September 30, 2025,were as follows: October 1, September 30, 2024 Additions Deductions 2025 Lease Liability $ 387,833 $ 132,405 $ (132,201) $ 388,037 SBITA Liability - 2,026,346 - 2,026,346 Total Lease and SBITA Liability S 387,833 S 2,158,751 S (132,201) S 2,414,383 12 MONROE COUNTY, FLORIDA TAX COLLECTOR NOTES TO FINANCIAL STATEMENTS Fiscal Years Ending September 30, Principal Interest Total 2026 $ 511,568 $ 11,827 $ 523,395 2027 451,329 66,002 517,331 2028 488,930 49,949 538,879 2029 484,728 33,007 517,735 2030 477,828 1,842 479,670 Total S 2,414,383 S 162,627 S 2,577,010 Note 7-Litigation The Tax Collector 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 Tax Collector's financial position. 13 REQUIRED SUPPLEMENTARY INFORMATION (UNAUDITED) MONROE COUNTY, FLORIDA TAX COLLECTOR SCHEDULE OF REVENUES AND EXPENDITURES BUDGET AND ACTUAL GENERAL FUND FISCAL YEAR ENDED SEPTEMBER 30,2025 General Fund Variance Original Final With Budget Budget Actual Final Budget Revenues Charges for Services $ 2,541,600 $ 2,541,600 $ 3,019,760 $ 478,160 Intergovernmental- Board of County Commissioners 7,992,400 7,992,400 10,642,604 2,650,204 Total Revenues 10,534,000 10,534,000 13,662,364 3,128,364 Expenditures General Government: Personnel Services 5,882,643 5,597,772 5,090,116 507,656 Operating 1,645,929 1,645,929 1,256,350 389,579 Debt Service: Principal - - 132,201 (132,201) Interest and Other Charges - 14,129 (14,129) Capital Outlay - 284,871 2,403,596 (2,118,725) Total Expenditures 7,528,572 7,528,572 8,896,392 (1,367,820) Excess of Revenues Over Expenditures 3,005,428 3,005,428 4,765,972 1,760,544 Other Financing Sources(Uses) Lease/SBITA Financing - - 2,158,751 2,158,751 Transfer to Board of County Commissioners (3,005,428) (3,005,428) (6,924,723) (3,919,295) Total Other Financing(Uses) (3,005,428) (3,005,428) (4,765,972) (1,760,544) Net Change in Fund Balance Fund Balances,Beginning of Year Fund Balances,End of Year $ $ $ $ Note to Required Supplementary Information Budgetary Requirements-General Fund expenditures are controlled by appropriations in accordance with the budget requirements set forth in the Florida Statutes. The budget is prepared on the basis consistent with accounting principles generally accepted in the United States of America. For financial reporting purposes, in the fund financial statements,the transfer of excess fees to other governments outside the County are reported net with Charges for Services above. For the fiscal year ended September 30,2025, outflows exceeded budgeted appropriations in the General Fund by$1,367,820,which is attributable to the technical application of Governmental Accounting Standards Board Statement No. 96, Subscription-Based Information Technology Arrangements (GASB 96). GASB 96 requires the full present value of a right-to-use asset to be recognized as a capital outlay expenditure at the commencement of the subscription term. The budget was not adjusted to cover the initial recognition of capital outlay. This budget overage was offset by$2,158,751 in proceeds from Lease/SBITA financing. 14 SUPPLEMENTARY INFORMATION MONROE COUNTY, FLORIDA TAX COLLECTOR CUSTODIAL FUNDS DESCRIPTIONS The purpose of each custodial fund in the combining statement of fiduciary net position and combining statement of changes in fiduciary net position balances is described below. Property Tax Fund—To account for the collection and distribution of local property tax funds. Licenses Fund — To account for the collection and distribution of funds generated from the sale of miscellaneous state licenses. MONROE COUNTY, FLORIDA TAX COLLECTOR COMBINING STATEMENT OF FIDUCIARY NET POSITION CUSTODIAL FUNDS SEPTEMBER 30,2025 Property Total Tax Licenses Custodial Assets Cash $ 10,506,954 $ 294,175 $ 10,801,129 Due from Individuals 269 - 269 Total Assets 10,507,223 294,175 10,801,398 Liabilities Undistributed Collections 10,302,296 294,175 10,596,471 Due to Individuals 204,927 - 204,927 Total Liabilities 10,507,223 294,175 10,801,398 Net Position $ - $ - $ - 15 MONROE COUNTY, FLORIDA TAX COLLECTOR COMBINING STATEMENT OF CHANGES IN FIDUCIARY NET POSITION CUSTODIAL FUNDS FISCAL YEAR ENDED SEPTEMBER 30,2025 Property Total Tax Licenses Custodial Additions Property Taxes and Fees Collected $ 530,230,306 $ - $ 530,230,306 Licenses and Tag Fees Collected - 17,737,354 17,737,354 Total Additions 530,230,306 17,737,354 547,967,660 Deductions Property Taxes and Fees Paid 530,230,306 - 530,230,306 Licenses and Tag Fees Paid - 17,737,354 17,737,354 Total Deductions 530,230,306 17,737,354 547,967,660 Net Increase(Decrease)in Fiduciary Net Position - - - Net Position,Beginning of Year - - - Net Position,End of Year $ - $ - $ - 16 OTHER REPORTS P U R V I s G 111 AY INDEPENDENT AUDITOR'S REPORT 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 Sam C. Steele, CFC Tax Collector of Monroe County, Florida We have audited, in accordance with the 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, the financial statements of each major fund and the aggregate remaining fund information of the Monroe County, Florida Tax Collector(the Tax Collector) as of and for the year ended September 30, 2025, and the related notes to the financial statements,which collectively comprise the Tax Collector's financial statements, and have issued our report thereon dated February 20, 2026. Our report included an emphasis of matter paragraph to reflect that these financial statements were prepared to comply with the Rules of the Auditor General of the State of Florida and are intended to present the financial position and the changes in financial position of the Tax Collector and do not represent a complete presentation of the financial statements of Monroe County, Florida. Report on Internal Control Over Financial Reporting In planning and performing our audit of the financial statements, we considered the Tax Collector's internal control over financial reporting (internal control) as a basis for designing 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 Tax Collector's internal control. Accordingly, we do not express an opinion on the effectiveness of the Tax Collector'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. Amaterial 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 entity'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 or significant deficiencies may exist that were not identified. CERTIFIECD PUBLIC ACCOUNTANTS 6'aiz°csvffle � Oca ar �� Taflahaassee �� Sarasol.a � Oria.un� to I I;'sampa purrvisgray.com Vunuul�Ru°u aa�Aromzruaw) Floridafins'kfluu°a,of,� I ubtiic Axgx ativat0or s 17 To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida INDEPENDENT AUDITOR'S REPORT 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 Report on Compliance and Other Matters As part of obtaining reasonable assurance about whether the Tax Collector's financial statements are free from material misstatement, we performed tests of its compliance with certain provisions of laws, regulations,contracts and grant agreements, non-compliance with which could have a direct and material effect on the financial statements. 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 non-compliance or other matters that are required to be reported under Government Auditing Standards. 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 Tax Collector'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 Tax Collector's internal control and compliance. Accordingly, this communication is not suitable for any other purpose. Purvis February 20, 2026 Sarasota, Florida 18 U RV Is G 111 AY INDEPENDENT ACCOUNTANT'S REPORT ON COMPLIANCE WITH FLORIDA STATUTES SECTION 218.415, INVESTMENTS OF PUBLIC FUNDS To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida We have examined the Monroe County, Florida Tax Collector's (the Tax Collector) compliance with the local government investment policy requirements of Section 218.415, Florida Statutes, during the fiscal period ended September 30, 2025. Management of the Tax Collector is responsible for the Tax Collector's compliance with those requirements. Our responsibility is to express an opinion on the Tax Collector's compliance with the specified requirements based on ourexamination. 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 Tax Collector complied, in all material respects, with the specified requirements referenced above. An examination involves performing procedures to obtain evidence about whether the Tax Collector 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 non-compliance, whether due to fraud or error. We believe that the evidence obtained is sufficient and appropriate to provide a reasonable basis for ouropinion. We are required to be independent and to meet our other ethical responsibilities in accordance with relevant ethical requirements relating to the engagement. Our examination does not provide a legal determination of the Tax Collector's compliance with the specified requirements. In our opinion,the Tax Collector complied, in all material respects,with the aforementioned requirements of Section 218.415, Florida Statutes, during the year ended September 30, 2025. This report is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and Florida House of Representatives,the Florida Auditor General,federal and other granting agencies, Monroe County, Florida, the Tax Collector, and applicable management, and is not intended to be, and should not be, used by anyone other than these specified parties. February 20, 2026 Sarasota, Florida CERTIFIED PUBLIC ACCOUNTANT" (iainesviN. I ()a..aha �� falhahasscc � Sarb ,rIsonti � Odanldo �� Tarn'�),'a Purvisgray.com MemIva:rs of Aiinerlcm�and➢Am ud au nstonaes a:off;Cr l'B'd PULAk.Ate coi[mhim Is 19 U R V I s G 111 AY MANAGEMENT LETTER To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida Report on the Financial Statements We have audited the financial statements of the general fund and the aggregate remaining fund information of the Monroe County, Florida Tax Collector (the Tax Collector) as of and for the fiscal year ended September 30, 2025, and have issued our report thereon dated February 20, 2026. Auditor's Responsibility We conducted our audit in accordance with auditing standards generally accepted in the United States of America;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 Reporting Requirements We have issued our Independent Auditor's Report 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 our Independent Accountant's Report on an examination conducted in accordance with American Institute of Certified Public Accountants Professional Standards, AT-C Section 315, regarding compliance requirements in accordance with Chapter 10.550, Rules of the Auditor General. Disclosures in those reports, which are dated February 20, 2026, 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 findings or 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 the management letter, unless disclosed in the notes to the financial statements. The legal authority is disclosed in Note 1 to the financial statements. Financial Management Section 10.554(1)(i)2., Rules of the Auditor General, requires that we communicate any recommendations to improve financial management. In connection with our audit, we did not have any such recommendations. CERTIFIED PUBLIC ACCOUNTANTS puirvisgray.corn Iwo.oral'um,of'Au7mua.vuur rcmtil F&nida Inst lu ik,"'(111 Cvufflied l"Gsfxlu�:,r 20 To the Honorable Sam C. Steele, CFC Tax Collector of Monroe County, Florida MANAGEMENT LETTER Additional Matters Section 10.554(1)(i)3., Rules of the Auditor General, requires us to communicate non-compliance with provisions of contracts or grant agreements, or fraud, waste, or abuse, that have occurred, or is likely to have occurred, that has an effect on the financial statements that is less than material but warrants the attention of those charged with governance. In connection with our audit, we did not note any such findings. Purpose of this Letter Our management letter is intended solely for the information and use of the Legislative Auditing Committee, members of the Florida Senate and Florida House of Representatives, the Florida Auditor General, federal and other granting agencies, Monroe County, Florida, the Tax Collector, and applicable management, and is not intended to be, and should not be, used by anyone other than these specified parties. Purvis February 20, 2026 Sarasota, Florida 21 P U RV I s G ��R AY C'E I f 11 F I E!:) PU 1:3 111 C A('CC U IN r/k I Ocahl I "I"Anhassee � Sarasom I Orhodo purvisgray-com