Los Angeles — 2015-01-08 Treasurer and Tax Collector – Redemption Property Tax Collections Financial and Compliance Audits for Fiscal Year 2013-14

Source: https://ttc.lacounty.gov/wp-content/uploads/2018/10/223021_2015-01-08TreasurerandTaxCollector-RedemptionPropertyTaxCollectionsFinancialandComplianceAuditsforFiscalYear2013-14.pdf

COUNTY OF LOS ANGELES DEPARTMENT OF AUDITOR.CONTROLLER KENNETH HAHN HALL OF ADMINISTRATION 5OO WEST TEMPLE STREET, ROOM 525 LOS ANGELES, CALIFORNIA 9OO1 2-3873 PHONE: (213) 974-8301 FAX: (213) 626-5427 JOHN NAIMO AUDITOR-CONTROLLER

January 8,2015

TO Supervisor Michael D. Antonovich, Mayor Supervisor Hilda L. Solis Supervisor Mark Ridley-Thomas Supervisor Sheila Kuehl Supervisor Don

FROM: John Naimo Audito SUBJECT: TREASURER AND TAX COLLECTOR REDEMPTION PROPERW - TAX COLLECTIONS FINANCIAL AND COMPLIANCE AUDITS FOR FISCAL YEAR 2013.14

on The Los Angeles County Treasurer and Tax Collector fffC) bills and collects taxes

real property, such as land and structures. lf the taxes are not paid by the Fiscal Year (FY) end (June 30tn), the property goes into tax-defaulted status, and TTC assesses additional fees and penalties pursuant to the California Revenue and Taxation (R&T) Code. Property owners may redeem their property by paying the full amount due, or by entering into a payment agreement with TTC. lf the property remains in tax-defaulted status for more than three years (five years for certain residential and agricultural property), TTC may auction the property to recover the taxes, penalties, and costs.

R&T Code requires an audit of TTC's accounting for collections of defaulted property taxes (redemption collections). We contracted with an independent Certified Public Accounting firm, Bazilio Cobb Associates (BCA), to audit TTC's redemption collections for the FY ended June 30, 2014. BCA conducted the audit under the Auditor- Controller's Master Agreement. BCA's attached report indicates that TTC's Schedule of Redemption Property Tax Collections presents fairly, in all material respects, the redemption property tax collections for the FY ended June 30, 2014, and TTC complied, in all material respects, with R&T Code requirements.

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As part of the audit, BCA reviewed TTC's internal controls over financial reporting and did not identify any deficiencies they consider to be material weaknesses. BCA tested TTC's compliance with laws, regulations, and other matters. BCA noted no instances of noncompliance or other matters that are required to be reported under Government Auditing Sfandards.

!f you have any questions, please contact me, or your staff may contact Robert Smythe at(213) 253-0101.

JN:AB:RS:MP

Attachment c: SachiA. Hamai, lnterim Chief Executive Officer Joseph Kelly, Treasurer and Tax Collector Public lnformation Office Audit Committee