Understanding Bond and Plant Facilities Computations

2018 Clerks Summer Conference

L-2 How and What to Submit Additional documents that may be required; Voter approved fund tracker Copy of newly passed initiatives Canvass of vote (one page), Recovered/Recaptured fund list, STC s form or, May submit your own spreadsheet. How to submit; Scan and email Copy L-2 documents and mail What to submit; Signed L-1 L-2 (signed copy or SOF signature on file), L-2 worksheet, Levy calculation sheet,

Urban Renewal and Levy Computations for Certain Funds as Outlined in I.C. 50-2908 To add increment or not to add increment, that is the question.

Qualifying Funds I.C. 50-2908 Temporary overrides I.C. 63-803(3) Judgments I.C. 63-1305 or I.C. 33-802(1) School Temporary Supplemental. I.C. 33-802(3) and (4) State Authorized Plant Facilities. (proposed rule) School Emergency I.C. 33-805 Plant Facilities and COSA Plant Facilities Bonds

Add Increment For these funds add all increment value to compute levies. Temporary overrides I.C. 63-803(3) Judgments I.C. 63-1305 or I.C. 33-802(1) School Temporary Supplemental. I.C. 33-802(3) and (4) State Authorized Plant Facilities. (Rule 804.5.g) School Emergency I.C. 33-805

Bond and/or Plant Facilities Information You Need to Know When was the RAA established? Has there been an annexation done by the RAA? If so when? When was the electionfor the bond and/or Plant Facilities fund? The answer to the above questions determine whether or not to add increment value to the net taxable value when computing levy rates.

Bonds and Plant Facilities Add Increment or Not? RAA Established Election for Bond/Plant Facilities Add Increment RAA established prior 12/2007 Electionheld prior to 12/2007 DO NOT add increment RAA established prior 12/2007 Election held after 1/2018 ADD increment RAA established prior to 12/2007 but annexed after 1/2018 Election held prior to 12/2007 ADD ONLY increment within annexed area. RAA established prior to 12/2007 did annexation after 1/2008 Election held after to 1/2008 ADD increment RAA established after 1/2008 Election held prior to 12/2007 ADD ONLY increment within annexed area.

Web L-2 (www.tsb.tax.Idaho.gov) Last year I was informed that not all of a county s L-2s were showing up when you viewed L-2s from the report section. In particular it appeared that joint taxing districts were the ones missing. This has been fixed. Getting started for 2018 Please make sure that you verify all taxable values. Doing so will create an L-2 even if they don t levy.

Web L-2 Another item deals with urban renewal increment only showing up on the county s screen that actually has the RAA. For example for School 331, which is in 4 counties, Cassia, Jerome, Lincoln, and Minidoka. Only Minidoka, which has the RAA, could see how much increment was entered. This has been fixed now any county will be able to see how much increment has been entered.

LOCAL Governing Entity CENTRAL Registry June 2018 Shelley Sheridan -(208) 334-4832 phone -(208) 334-2034 fax ssheridan@lso.idaho.gov

DATE(S) TO REMEMBER The registry must be updated by December 1each calendar year, which includes: 1. Updating entity information, if necessary 2. Entering financial information for current and prior fiscal years. 3. Uploading supporting documents a. Current fiscal year s approved budget b. Prior fiscal year s budget to actual expenditures comparison c. Most recently completed financial audit * * Per Idaho Code, audit reports are due within 9 months from the entities fiscal year-end.

DATE(S) TO REMEMBER The registry must be updated by December 1st each calendar year. * Per Idaho Code, audit reports are due within 9 months from the entities fiscal year-end. Tip: Update the registry around the same time each year so you re reporting consecutive fiscal year s data. Therefore, an entity with a fiscal year end of 9/30 requiring an audit should update the registry by 6/30, thus meeting both deadlines. (Audit due by June 30 and registry due by December 1)

LSO TIMELINE After the December 1deadline, LSO begins review. JANUARY: List of entities registered and their compliance status is posted on LSO S website JANUARY AUGUST: LSO continues review, monitors compliance, and communicates compliance status with the entities and counties SEPTEMBER1: Final list of noncompliant entities is provided to the Tax Commission and counties SEPTEMBER NOVEMBER: LSO continues to monitor non-compliant accounts for compliance and notify the State Tax Commission as necessary

Penalties for Non-Compliance FAILURE TO COMPLY: Entities shall be prohibited from including in its budget any budget increase otherwise permitted by either subsection (1)(a) or (e) of section 63-802, Idaho Code The Tax Commission shall withhold the annual distribution of sales tax pursuant to section 63-3638(10), Idaho Code, for any noncomplying entity. These withheld funds can be recovered by the entity upon compliance The board of county commissioners shall convene to determine appropriate compliance measures for any local governing entity that is a non-taxing district including, but not limited to, the following: Require a meeting of the board of county commissioners and the entity s governing body wherein the board of county commissioners shall require compliance Assess a noncompliance fee on the noncomplying entity. Such fee shall not exceed five thousand dollars ($5,000) Cause a special audit to be conducted on the entity at the cost of the entity

LSO Registry Sales Tax Being Withheld LSO Non-Compliance Detail of $ withheld Tot al FY2018 Distribution September 2017 Sept 2017 Dec 2017 Mar 2018 Jun 2018 County District Amount Amount Amount Amount Amount City of Clayton 29.41 25.25 22.74 77.40 Custer Total Withheld 29.41 25.25 22.74 - 77.40 Gr and Tot al Pr evi ous Year s Am ount of Sls Tax W i t hhel d LSO Non-Compliance Detail of $ withheld Tot al FY2018 Amount 38,089.98 Distribution September 2017 County Bear Lake Bear Lake Fire Blaine Big Wood Flood Control #9 Boundar y Boundar y Abat em ent Idaho Woodland Cemetery Idaho Whitebird F/C #6 Idaho Ferdinand Highway Idaho Keuterville Highway Jefferson Levee District #1 Lewis Central Highway Teton Felt Cemetery Total Withheld Sept 2017 Amount 18,598.62 Dec 2017 Amount Compliant Compliant Compliant Compliant 9,832.56 Mar 2018 Amount Jun 2018 Amount Amt Returned to District Amount being held 30,454.58 District 7,676.34 599.94 169.12 127.10 71.82 1,962.79 1,207.23 638.73 6,104.72 40.83 7,676.34 599.94 507.36 127.10 71.82 5,785.93 3,579.35 1,916.19 17,703.46 122.49 7,676.34 2,733.52 - - 2, 133. 58 676. 48 169.12 169.12 1,183.84 127.10 71.82 - - 1,923.35 1,190.93 638.73 5,869.60 40.83 9,658.80 1,899.79 1,181.19 638.73 5,729.14 40.83 5,785.93 3,579.35 1,916.19 17,703.46 285.81 2,973.38 163. 32 - 10,608.78 Districts listed above are still not in compliance.