LUCASLUCAS CCOUNTYOUNTY Popular Annual Financial Report As of December 31, 2008 IssuedIssued bbyy AAnitanita LopezLopez ANITA LOPEZ LucasLucas CountyCounty AuditorAuditor Th e Government Finance Offi cers Association of the United States and Canada (GFOA) has given an Award for Outstanding Achievement in Popular An- nual Financial Reporting to Lucas County, Ohio for its Popular Annual Financial Report for the fi scal year ended December 31, 2007. Th e Award for Out- standing Achievement in Popular Annual Financial Reporting is a prestigious national award recognizing conformance with the highest standards for prepara- tion of state and local government popular reports. In order to receive an Award for Outstanding Achievement in Popular Annual Financial Report- ing, a government unit must publish a Popular An- nual Financial Report, whose contents conform to program standards of creativity, presentation, under- standability, and reader appeal. An Award for Outstanding Achievement in Popular Annual Financial Reporting is valid for a period of one year only. We believe our current report con- tinues to conform to the Popular Annual Financial Reporting requirements, and we are submitting it to GFOA. LLucasucas CCountyounty AAuditor’suditor’s OOfffi ccee CCAFR/PAFRAFR/PAFR SSquadquad ((bottombottom rrowow llefteft ttoo rright):ight): TTomom NNichter,ichter, JJoanneoanne MMelamed,elamed, SSamuelamuel OOlaniran.laniran. TopTop rowrow leftleft ttoo right:right: MMelyely AArribas,rribas, LLoriori LLamb,amb, PPetereter RRancatore,ancatore, SShimeakohimeako CCole,ole, andand KKarlaarla Hayes.Hayes. PPhotographyhotography aandnd ggraphicsraphics byby MelyMely AArribasrribas aandnd MMatthewatthew RRogacki.ogacki. DDearear LLucasucas CCountyounty RResidents,esidents, As we move through 2009, there is much anxiety and trepidation regarding our challenging local and national economy. With so many levies passing last year, we saw taxpayers scrutinizing their property tax bills as taxes rose throughout the County. Th is scrutiny brought volumes of calls to our offi ce, and we met this demand for information by educating you on the levies, both via phone and through the use of online tools such as the Levy Estimator and Tax Distributor. One major factor determining your property tax is the value that the County Auditor assigns to your home. As we found when I took offi ce in March of 2007, properties in the County were overvalued. Over the last two years, our Department of Education and Outreach has assisted thousands of taxpayers through the process of having the taxable value on their homes revalued. Th is year, my offi ce will conduct a more global approach through a “Triennial Update”, which is a detailed sales analysis of neighborhood property values county- wide. We are continually involved in this process, and you are a part of it. We’re sending out notices on the progress of this update, and you should feel welcome to comment on the value assigned to your home. When all is said and done, I hope you feel that I’ve kept my promise: that you have a fair property value. Please feel free to call myself or my offi ce if you have any concerns regarding your property value. With these tasks set, I present you with the Popular Annual Financial Report (PAFR) for Lucas Coun- ty for the fi scal year ending December 31, 2008. Th is report not only provides an overview of Lucas County’s fi nances, but also provides insight into the strategic direction of your Lucas County govern- ment. Information in this report was derived from the 2008 Lucas County Comprehensive Annual Financial Report (CAFR), a 234-page book detailing Lucas County’s fi nances. Our CAFR received an unquali- fi ed opinion from our independent auditors Ernst & Young, LLP. An unqualifi ed opinion is the most favorable opinion that can be rendered and means that Ernst & Young, LLP examined the County’s books and records and determined that the fi nancial statements present fairly, in all material respects, the fi nancial position, operating results, and cash fl ows of the County in conformity with Generally Accepted Accounting Principles (GAAP). Th is PAFR is not presented in conformity with GAAP, but was created to provide you with a summary of the fi nancial activity of Lucas County’s primary govern- ment in an easily understandable format. Please feel free to address any questions or concerns to our Department of Education and Outreach at (419) 213-4406. We will get an answer for you, or refer you to the most appropriate channel to resolve your issue or question. I hope you enjoy the PAFR. Sincerely, Anita Lopez Lucas County Auditor 1 TThehe LucasLucas CountyCounty AuditorAuditor Stewards of Public Funds Th e Lucas County Auditor is the watchdog of County In 2008, the Auditor’s offi ce inspected 5,353 devices at funds. As the County’s Chief Financial Offi cer, it is over 600 locations throughout the County. Recently, the Auditor’s responsibility to: the Auditor’s offi ce added a Consumer Hotline phone • Account for the millions of dollars received by the number to the approval seals located on all the de- County each year; vices the department inspects. Consumer concerns on any weights and measures issue can be taken over • Issue payments for all County obligations, includ- the Hotline or fi led online. All complaints are quickly ing the distribution of tax dollars to the townships, investigated, and the complainant is notifi ed of the villages, cities, school districts, libraries, and other results of the inspection usually within 24 hours. In County agencies; 2008, 160 complaints were investigated and resolved. • Administer and distribute tax and license revenues Licensing including real estate taxes, personal property taxes, motor vehicle license fees, gasoline taxes, estate Licensing for dogs, kennels, vendors, and cigarettes taxes, manufactured home taxes, and local govern- are issued by the Auditor’s offi ce. Vendor licenses ment funds; authorize businesses to sell tangible property to the • Administer the County payroll; and public and collect sales tax, a part of which is returned for use at the local level. Lucas County issued 63,153 • Produce the County’s annual fi nancial report. dog licenses in 2008. To promote responsible pet care Weights and Measures and ownership throughout Lucas County, the Audi- tor’s offi ce sponsored an essay contest in which ap- Th e Lucas County Auditor’s offi ce helps protect Coun- plicants described why their pet is the No. 1 dog in ty residents and businesses by ensuring that all com- Lucas County. Sophie, a 2 ½ year old Pomeranian mercial weighing and measuring devices are accurate. Poodle-Terrier mix, won the contest and received the Th e department annually performs inspections on gas No. 1 dog tag for 2008, and her picture on the 2009 pumps, UPC scanners, packages and labeling, LPG dog license renewal forms. Auditor Anita Lopez also and fuel oil meters, meat and produce scales, etc. personally purchased the 2008 dog tags for the winner and four fi nalists. 2 Real Estate Taxes and Rates Mobile Home Assessment Th e Lucas County Auditor cannot raise or lower prop- Th e Auditor’s offi ce is also charged with assessing erty taxes. Tax rates are determined by the budgetary taxes on manufactured housing (mobile homes). Un- requests of each government unit, as authorized by a der Ohio law, mobile home owners must register their vote of the people. Tax rates are computed in strict homes with the Auditor’s offi ce for tax purposes. Th e accordance with procedures required by the Ohio De- Auditor assesses each manufactured home annually partment of Taxation, Division of Tax Equalization. and prepares a tax list. Th e manufactured home tax is Each year, the Auditor prepares the General Tax List. distributed back to the local taxing districts (munici- Your property tax bill is based on the tax rate multi- palities, townships, and schools) in the same manner plied by your valuation on the General Tax List. Th is as real estate taxes. is your proportional share of the cost of operating your local government, including schools, townships, New Initiatives villages, and the County. Th e Levy Estimator and Tax Distributor are tools in- Under Ohio law, the amount of taxation without a vote troduced in 2007 that continue to serve the citizens of of the people is limited to 10 mills ($10 per $1,000 of Lucas County as part of our AREIS Online applica- assessed valuation). County residents must vote on tion. Th e Tax Distributor assists Lucas County resi- any additional real estate taxes for any purpose. Your dents in gaining a better perspective on the allocation “tax rate” is the total of all levy and bond issues in your of their property tax dollars. Th e tool breaks down the tax district. current taxes by the various levies in both percentages Real Estate Appraisal and Assessment and dollar amounts, and also provides the amount of special assessments paid. Th e Levy Estimator displays Lucas County has 208,657 separate parcels of prop- all the currently proposed levies by district, and the erty. It is the job of the Auditor’s offi ce to ensure that estimated amount of taxes due if the levies had been in every parcel of land and the buildings on it are fairly eff ect for the current tax year. and uniformly assessed for tax purposes. A general appraisal is conducted every six years and is Th e Auditor’s Sales Report, introduced in 2009, lists all updated every three years. Th e last general appraisal sales since January 1, 2006 within the neighborhood was done in 2006. In 2009, the County will conduct of the selected parcel. Information in the Sales Report a Triennial Update to determine if there has been a is provided to assist the public not only in locating change in the market since the last revaluation.