COUNTY OF SAN MATEO

Inter-Departmental Correspondence

Controller's Office

DATE:

6/30/2003

BOARD MEETING DATE:

7/15/2003

TO:

Honorable Board of Supervisors

FROM:

Tom Huening, Controller

SUBJECT:

Fees for Collection of Special Assessments, Special Taxes and Sewer Services Charges

Recommendation

Approve a resolution to modify the compensation schedules set forth in the Agreements for Compensation to County of San Mateo for Collection of Special Assessments, Special Taxes and Sewer Services Charges.

Background

Currently, as a service to cities and special districts, the County collects certain special assessments, special taxes and sewer service charges through the countywide property tax bill. In 1980, the Board of Supervisors established the following schedule of charges for this service:

(a) $.30 per transaction if input data is in electronic format

(b) $.50 per transaction if input data is in paper format

(c) $4.50 per transaction for each change after the taxroll has been prepared.

San Mateo County has not raised rates in the past 23 years.

Discussion

At its meeting on March 25, 2003, the Board approved our recommendation that San Mateo County seek to modify the compensation schedule in its agreements with cities and special districts as follows:

$1.25 per transaction if submitted in electronic format (diskette, CD, magnetic tape, or electronic mail), unless fees collected are 5%, or more of total charges in which case the rate will remain at $.30 per transaction.

$1.75 per transaction if submitted in hardcopy. Beginning fiscal year 2004-05, all transactions from cities and special districts will be required to be submitted in electronic format.

$25 per transaction for each correction after the tax roll has been prepared.

Any city or special district whose fees amount to $10.00 or less will be waived due to its immaterial fiscal impact.

Per the terms of the agreements, unless either party notified the other of a proposed modification to the compensation schedule within ninety (90) days of the close of the fiscal year, the agreements would automatically be renewed under the current compensation schedule. Notices have been sent to the appropriate cities and special districts. All such cities and special districts have agreed to the proposed compensation schedule. We now ask that the Board formally approve the increase to the compensation schedule as set forth above.

Vision Alignment

This resolution supports the Vision 2010 Commitment that says, government decisions are based on careful consideration of future impact, rather than temporary relief or immediate gain.

Fiscal Impact

Using the new rates, we estimate a revenue increase of approximately $269,000, which would reduce the Controller's Net County Cost.