To: Martin L. Cousineau, Finance Committee Chairperson
From: Samuel E. Muma, Treasurer
title
RE: Approval of a request by Genesee County's Treasurer for the 2026 Borrowing for 2025 delinquent taxes
recommendation
BOARD ACTION REQUESTED:
Approval by the Finance Committee of the 2026 Borrowing Resolution, for Anticipated 2025 Delinquent Taxes, and subsequent authorization by the Board of Commissioners with roll call voting requested at full Board meeting.
BACKGROUND:
The attached 2026 Borrowing Resolution for Genesee County's Delinquent Tax Revolving Fund (DTRF) established to pay local taxing units within the County their respective share of delinquent ad valorem real taxes and eligible tax reverted property specific taxes in anticipation of the collection of those taxes by the County Treasurer. This "Resolution to Borrow Against Anticipated Delinquent 2025 Real Property Taxes" provides for the authorization to borrow the sum not to exceed $50,000,000 and issue the General Obligation Limited Tax Notes, Series 2026.
DISCUSSION:
As an annual occurrence, the Board of Commissioners authorizes by resolution the issuance of short-term notes to pay each local taxing unit of government - the County, any school district, intermediate school district, community college district, city, township, special assessment district and any other governmental unit - the delinquent real property taxes outstanding as of March 1st of each year. Payments are made from the Revolving Fund and are distributed by the end of June through the Treasurer's office allowing each unit to collect 100% of its tax levy. As delinquent taxes, along with penalty and interest, are collected by the Treasurer, the Notes are repaid. The average amount of taxes returned to the Treasurer's office as delinquent for the last three years is $42,301,327 and the average Note issued for this same period is $34,658,333.
IMPACT ON HUMAN RESOURCES:
There is no impact on Human Resources.
IMPACT ON BUDGET:
The ex...
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