Assessment Tax System (ATS) Briefing to the Board of Supervisors
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1 Assessment Tax System Assessment Tax System (ATS) Briefing to the Board of Supervisors April 2007 Assessor Auditor / Controller Clerk of the Board Treasurer / Tax Collector 1
2 Assessment / Tax Systems Overview ATS Outputs and Impact Considerations Orange County Taxpayers Over 1 Million Properties Valued & Assessed $377 Billion Total Assessed Value In 2006/07 Almost $5 Billion Taxes & Special Assessments Billed & Collected Cities, Schools & Special Districts 4,500 Tax Rate Areas 389 City, School and Special District Funds 3.4 Million Special Assessments At Risk Challenged Assessments Annual Average Assessments Appealed $13.6 billion in Assessed Value OC, Cities, Schools & Special Districts At 1% $136M in Property Tax Revenue 2
3 Assessment / Tax Systems Overview Title Companies Clerk / Recorder Assessor Public Property Valuation Clerk of the Board Appeals Processing ATS Mainframe Tax Bill Computation Revenue Allocation & Distribution Auditor Controller Taxpayers Tax Collector Tax Bill Generation & Collection Cities, Schools, Special Districts 3
4 Assessment / Tax Systems Overview Tax Cycle The Assessor estimates and assigns a Tax Bill is sent the Property Values for to the Tax Payer who pays the Auditor Controller who applies the tax rate the Tax Collector who collects to provide revenues for Taxing Agencies City County School Special District and each year and the the tax monies to Auditor Controller allocates & forwards Taxing Agencies City County School Special District 4
5 Assessment / Tax Systems Overview Appeal Cycle The the Tax Payer Assessment Appeal Files with Assessment Appeals Board conducts hearing & the COB who administers the appeals process renders to the Decision Auditor Controller which is sent who pays Refund or sends to the Tax Collector who collects 5
6 Assessment / Tax Systems Overview Why Replace The ATS System? Maturity of a Mission Critical System Legacy System Built in Developed Using Outdated IDEAL Programming Language Support Is Scarce and Costs Are Expected to Increase System Reliability Will Decrease Over Time Business Operations Require Flexibility Current System And Output Options Are Not Flexible System Navigation Is Not Intuitive for New Users Greater Need for Workflow Capability & Streamlining of Operations Not Easily Adaptable to Internet Services/New Technology System Management Traceability and Impact of Changes Difficult to Assess 6
7 Project Overview Phase 1 Convert Database to DB2 Completed 2002 Phase 2 Establish Software Development Methodology Acquired Rational Toolset in July 2005 Phase 3 - Needs Assessment 2 Parallel tracks: Assessor Assessment Tax System (ATS) Auditor Controller, Clerk of the Board & Tax Collector Property Tax Management System (PTMS) Under Way Phase 4 Development & Implementation 7
8 Project Overview ATS (Assessor) DSAR ATS Mapping ATS Re-Engineering Project Scope Integrate Systems and Processes Simplify User Interface Streamline the Input/Output Process Improve Data Quality Comp Sales Workflow DMP Geo/GIS Non-Public Facing DSAR Permit Files Property Attributes ASSESSOR SQL Database Workflow ATS Production Smart Files 571 s SDR Public Facing Maps Geo-Find 571 s e-filings * Please see Glossary for definition of terms Business Property Comp Sales 8
9 Project Overview ATS (Assessor) Develop and test a new database design Complete and field test Phase I Field Data Canvas tool Design a new user interface prototype Develop a new business property statement viewer and processing tool Develop, enhance, add new BPS form types for BPS e- file. Expect 50,000 filings statewide in Review production hardware platform options and implement a Development/Test Environment 9
10 Project Overview PTMS (Tax Collector, Auditor-Controller, Clerk of the Board) Phase 3 - Needs Assessment Assurance of Clearly Defined Requirements Detailed Roadmap Costs for Deployment Identified Determine Current State & Document Current Scenario Identify Current Problems & Opportunities Envision To Be State Develop Detailed Requirements Identify Priorities Identify Possible Solutions and Implementation Strategies 10
11 Project Overview PTMS (Tax Collector, Auditor-Controller, Clerk of the Board) Phase 4 - Systems Development & Implementation System Design Code Test Rollout Approach Industry standard methodology and tools (Rational). Modular design for flexibility & scalability. Phased deployment for faster user benefit and feedback. PTMS FOCUS ESTABLISH AN EFFECTIVE, ELASTIC AND EFFICIENT PROPERTY TAX MANAGEMENT SYSTEM 11
12 PTMS Focus EFFECTIVE 12
13 PTMS Focus ELASTIC 13
14 PTMS and ATS Focus EFFECTIVE, ELASTIC & EFFICIENT 14
15 Hardware & Software Options Platform Mainframe Platform Servers (Virtual or Blade Technology) Operations and Maintenance Hosted by the Data Center Local System(s) Development Environment JAVA.NET RATIONAL Development and Maintenance In-House Staff BUILD BUY Systems Project Management: 100+ Years Experience ATS Development & Maintenance: 200+ Years Experience Contracted Staff Modular Approach Flexible Scalable 15
16 Tentative Project Schedule 16
17 Estimated Project Cost & Oversight FY FY FY * FY * TOTAL PTMS 1,100,000 2,100,000 4,500,000 4,200,000 11,900,000 ATS 0 1,100,000 4,000,000 4,400,000 9,500,000 GRAND TOTAL 1,600,000 3,500,000 8,100,000 8,200,000 21,400,000 * This is a Rough Order of Magnitude Estimate. A more accurate estimate will be developed in FY through the Needs Assessment and Requirements Definition processes for the respective agencies. Tracking under budget for current Fiscal Year by approximately $800,000 Oversight through ATS / PTMS Steering Committee Assessor, Auditor-Controller, Clerk of the Board, Treasurer-Tax Collector & CEO-IT 17
18 Benefits of Re-Engineering Replaces an outdated system with a new system that is robust, flexible, scalable and maintainable Implements a long-term strategy for producing property assessments, billing, collecting and allocating taxes, and managing appeals Develops intuitive interfaces and integration with other systems that enhance capabilities and maintain quality Enhances user productivity by simplifying access to information and enhancing workflow capabilities Develops modular processes to implement and manage business rules 18
19 Current Status - ATS Define What is Next Review systems and user requirements and enhancements Re-code the existing details of ATS assessment logic Implement a development and test environment Review, enhance, adjust the new database Develop and test prototypes Deploy in phases new modules and database 19
20 Current Status PTMS Needs Assessment and Implementation Plan scheduled for completion in May 2007 Conducted review of 60+ business processes Completed application and database review Developed standards for software engineering using new Rational Software Development Tools Implemented Development / Test environment Pilot for development of Fund Accounting system currently under way Will validate new technological architecture and end-toend development process 20
21 Glossary ATS Assessment Tax System COB Clerk of the Board DSAR Document Storage and Retrieval (Document Imaging) DMP Geo/GIS Digital Map Products, Web Geographical Information Systems Software PTMS Property Tax Management System SDR Standard Data Record for Filing Business Property Statements. Standard for statewide use by businesses filing statements. SQL Structured Query Language. Database query language. 21
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