Tag: Treasurer

Treasurer’s Office Must Find Solutions for Closure of Satellite Offices

  • October 19, 2015
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Lake Havasu City, AZ – Supervisor Buster Johnson would like to make the public aware that the Treasurer’s Office has decided not to open the two satellite offices in Lake Havasu and Bullhead City as previously planned for collection of tax payments.  Mohave County Attorney Bill Ekstrom advised Treasurer Cindy Cox that not accepting cash payments at the satellite offices was a violation of 1 U.S. Code § 5103 that states that United States coins and currency are legal tender for all debts, public charges, taxes, and dues.  “Cash payments have been accepted in the past with only one staff personnel at each location,” Supervisor Johnson said.  According to Treasurer Cox, an additional $200,000 of needed security and personnel would be needed at each satellite office before cash payments could be allowed.  “While different options were laid out for ways residents could still pay their tax payment in person without having to drive to Kingman or mail it in, the Treasurer still decided to shut down both locations for the time being,” Johnson continued. According to Johnson, there are solutions out there that should be looked in to.  “We are here to serve the people, and if they want to pay their property tax bill in person they should be allowed to,” Johnson stated.  “An example of a no cost solution for county taxpayers is to mirror what Maricopa County Treasurer’s Office has done for over 10 years and that is partner with a bank branch,” Johnson suggested.  “Maricopa County partners with Chase Bank to allow constituents who want to pay with a check the option of going to any Chase branch in the state with a check and their tax payment coupon.  With Chase’s system, the bank is able to directly import the tax payer’s data and payment information to the Maricopa County Treasurer’s Office electronically with very little paperwork and no risk of information getting lost in the mail,” Johnson explained.  “They have partnered with Chase specifically for the past five years with no cost to county taxpayers.  This is just one example of a solution for local residents.  We need to be looking for solutions not just closing the doors,” Johnson continued. Johnson suggested a low cost solution the Treasurer could consider is to partner with another county department already located in Lake Havasu and Bullhead.  “The Treasurer could agree to pay half of an employee’s salary and benefits from that department, and along with that employee’s everyday duties, they could also be available to constituents year round who want to pay their taxes in person,” Johnson said.  Supervisor Johnson stated that prior to 2014 his office collected payments year round from residents who wanted to pay with cash or money order.  “I have never heard of an issue arising regarding security and the collection of tax payments at the satellite offices,” Johnson said.  “My office gladly accepted the payments until we were told we were no longer allowed to,” Johnson continued. Johnson also stated that a … Continue Reading →

SB1071 Fails on Reconsideration

Law Would Have Cost County Taxpayers Thousands Lake Havasu City, AZ – Reconsideration of SB1071 failed 28 to 31 yesterday in the Arizona House of Representatives. The bill, originally sponsored by Arizona State Senator Steve Smith, would have put a $500 cap on fees that a county treasurer may charge for a tax lien deed where ten or more parcels are involved. Supervisor Buster Johnson, Chair of the Arizona Association of Counties (AACo) Legislative Committee, reached out in opposition to the bill. “This was special legislation aimed at helping a private investor in Pinal County,” Supervisor Johnson stated. “I want to thank Representative Cobb for voting against this bill and for recognizing that this was poorly written and would have harmed Arizona’s counties,” Johnson continued. According to AACo, the majority of the treasurer’s in Arizona were against SB1071 stating that if passed it would have set a president for future tax liens that would have cost county taxpayers hundreds of thousands of dollars. “If this bill would have passed a million dollar investor would have end up paying a little over .17 cents per parcel in tax lien deed fees while regular county taxpayers are still paying $50,” Johnson explained. The bill was originally brought about after Phoenix area attorney and multi-million dollar investor Wayne Howard purchased 2,922 tax lien properties in Pinal County resulting in him having to pay a fee of $146,100 to get them deeded through the Pinal County Treasurer’s Office. “Anyone who buys a lien knows the costs when bidding and they make a business decision at that time as to the worth and their investment,” Johnson stated. Current state law allows third parties to purchase properties through tax lien sales after a property owner is delinquent on their taxes for three years. The owners of the lien may then initiate foreclosure proceedings if the landowner does not pay what they owe plus penalties. If the third party obtains a court-ordered judgment on the foreclosure, the third party is then required to obtain a deed transferring the property from the debtor to the third party. The current fee for the issuance of each deed is $50 according. According to Johnson, the current fee only covers half of what it costs the treasurer’s office to transfer the deed. “A breakdown of the actual cost to process these deeds amounts to $97 per deed,” Johnson explained. “At the $50 level we can process them and it still costs the county taxpayers some money,” Johnson continued. “If we put a $500 cap on deeds of ten or more, regular citizens are still being forced to pay the $50 fee while multi-million dollar investors are getting over a 90% reduction,” Johnson stated. Johnson also believes that the language of the bill would not have held up in court. “Legally you cannot bundle multiple deeds. They need to be done individually,” Johnson stated. “If it is a subdivision for example with multiple lots it cannot be put back as one piece … Continue Reading →