Committee of the Whole Presentation

Controller

July 16, 2009

2

Agenda

Department Projections

Sales Tax Collections

General Fund Balance

Savings Measures Instituted

3

First Quarter Projections2009 1st Q Est

under/(over) GPR

Sales Tax (2,255,272)$ Robertson Rd. Land Sale (1,100,000)$ County Board 14,217$ County Executive 43,548$ County Clerk 15,884$ Dept. of Adm. (incl. Fac. Mgt.) (348,391)$ County Treasurer (1,678,822)$ Corp. Counsel 117,402$ Reg. Of Deeds (463,470)$ Clk. Of Cts. (296,063)$ Fam. Ct. Counseling 3,970$ Coroner 56,929$ Dist. Attorney (291,306)$ Sheriff (2,057,990)$ Pub. Safety Com. (167,818)$ Emergency Mgt. 71,115$ Juvenile Court (69,584)$ Veterans Services 9,564$ Planning (132,399)$ Zoo (90,177)$ Land & Water Resources 16,497$ Extension 99,271$ Pub. Wks Engineering (35,807)$ Parking Ramp (7,255)$ Human Services & BPHCC -$ Highway Dept. (239,922)$

4

Sales Tax Collections2008 2009 Monthly Chg.

Mar 3,820,252$ 3,063,995$ -19.80%Apr 2,963,661$ 2,847,552$ -3.92%May 3,730,476$ 3,428,706$ -8.09%Jun 3,524,022$ 3,269,032$ -7.24%

Total 14,038,410$ 12,609,285$

YTD Cumulative Change -10.18%

Sales Tax Collected in 2008 43,746,346$

Budgeted amount for 2009 45,105,443$

Increase from 2008 to make budget 3.11%

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General Fund Balance

2008Beginning 2008 General Fund Balance 11,833,807$

Net 2008 Activity (8,560,014)$

Ending 2008 General Fund Balance 3,273,793$

2009Beginning GF Balance 2009 3,273,793$

Projected Net of 2009 Activity surplus/(deficit) (10,491,119)$ Savings Measures Initiated 6,400,000$

Projected Ending Balance 2009 (817,326)$

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Savings Measures

Savings Measures Initiated in 2009

Froze Conference and Training 110,000$ Cancel Ag Enterprise Grants 22,000$ Cancel BUILD Grants 37,000$ Land and Water Res. LTE Adjustments 137,000$ Freeze Existing Vacancies 1,900,000$ MG&E Electricity Rate at Landfill 500,000$ Other Misc. LTE and Line Items 85,000$ Staff Salary Savings 3,600,000$ Cultural Affairs Grants 9,000$

Total 6,400,000$

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Next Steps

o DOA will be is beginning preparation of the second quarter projections.

o Departments are preparing and submitting their 2010 budget requests.

o The compilation of budget requests will be available on Wednesday September 9.

Committee of the Whole Presentation

Treasurer’s Office

July 16, 2009

9

Agenda

Introduction

Interest Earnings

Tax Collections

Q’s and A’s

10

Introduction

Chairman’s RequestTalk about Revenue shortfalls

Treasurer’s role as Investor

Treasurer’s role as Tax Collector

Both of these directly related to the current economy

11

Interest Earnings

Investment Policy Safety

Liquidity

Earnings

12

Interest on Investments

Income from investmentsLocal Government Investment Pool (LGIP)

Bank CD’s

Other managed investment accounts

Dependant upon:Cash balances

Interest rates

13

Interest on Investments

$0

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

1999 2001 2003 2005 2007 2009(est)

14

Federal Interest Rates

0.00%

0.50%

1.00%

1.50%

2.00%

2.50%

3.00%

3.50%

4.00%

4.50%

5.00%

5.50%

6.00%

90 Day T-Bill

15

LGIP Interest Rates

0%

1%

2%

3%

4%

5%

6%

Jan Feb Mar Apr May June Jul Aug Sept Oct Nov Dec

2007 Rate

2008 Rate

2009 Rate

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LGIP Monthly Interest

$0

$50,000

$100,000

$150,000

$200,000

$250,000

$300,000

$350,000

$400,000

$450,000

$500,000

$550,000

$600,000

$650,000

Jan Feb Mar Apr May June Jul Aug Sept Oct Nov Dec

2007

2008

2009

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Other Contributing Factors

Amounts available to invest has decreased

Increased Liquidity concerns

Allocation of interest

Impact of mark to market on bonds

18

Future Interest Earnings

Economic recovery expected to begin in late 2009, early 2010, but improve slowly.

Federal Reserve is not expected to begin to raise rates till the second quarter of 2010.

Staying liquid due to the uncertainty of revenues.

Bottomline – interest income will not rebound to previous levels for some time to come.

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Tax Collections

County Role in tax collectionsCalculate and create bills, assist municipalities in first installment collections, and assume collection of the second installment

Importance of SettlementAll other taxing jurisdictions paid in full

County responsible for delinquencies

Source - 2008 CAFR and includes penalty and interest

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Year End Outstanding Property Tax Delinquencies

$0

$2,000,000

$4,000,000

$6,000,000

$8,000,000

$10,000,000

$12,000,000

$14,000,000

$16,000,000

$18,000,000

1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

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Current Year

Collections continue to lag behind prior year.

Have made efforts to collect delinquenciesSpring effort

Planning joint effort

Will increase penalties and interest collections.

22

Future

Delinquencies are continuing to grow and will likely do so until economy improves.

Recovery in WI employment and personal income not expected until mid 2010 (DOR).

Treasurer’s Office is poorly equipped to aggressively pursue delinquencies.

23

Conclusion

Expect interest income to be down significantly for the for the next year and recover slowly with an improving economy.

Expect delinquencies to continue to rise in the near term until housing industry has recovered.

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Reminder

Second installment of property taxes are due July 31.

Penalty and interest accrue if you are late.

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Questions and Answers