As shown in the customer highlights, the size of the City does not equate the lesser likelihoood of recovery.  Town of Lake Park has a population of 9000 and ATCS did not expect a customer base that will yield such a finding.  The total identified finding on one Cable Company reviewed was $263,000+, but the City settled for $100,000.

The telecommunication Company reviewed for Broward was not completed in its entirety due to the lack of cooperation of the Company.  However, ATCS have analyzed the limited information available, then identified and calculated the tax due.  After several demand letters from the County, the Company paid the full amount.

Garbage companies is a big business and the franchise agreement they have with the cities/counties can be a good source of revenue for the local government.  Some City clients provide non-exclusive franchise and receive garbage franchise fee in the millions.  City of Hollywood receives hundreds of thousand in audit recoveries from their garbage collectors.  As a result of the reviews, the City has amended their garbage ordinance to limit the abuse on recyle exemption.

The preliminary report issued for Deland was calculated based on the provisions of the Cable franchise agreement compared with the calculation of the franchise fee received.

Since the State changed the statutes in the assessment and collection of the utility taxes abnd franchise fee on telecommunication and cable, the responsibility of its collection is now with the State.  The cities/counties lost their right to audit the accuracy of their franchise fee and utility tax receipts on cable and telecommunication.  The municipal tax (166.231) still apply to water, electricity, natural and bottled gas and fuel oil.

Operational reviews especially in revenue generating activities are equally important to analyze and examine to ensure the revenue expected is received.  Also, the reviews include the effectiveness and efficiency of the collection and accountability procedures.

Another major source of revenue for local government is the users fee.   Example of users fee are:

• Ambulance service
• Atletic facilities and service
• Parks and recreation
• Parking

License and permit fees are usually assess based on guidelines by state statutes and/or local ordinances.  In most cases these fees are based on cost (labor and materials) recovery.  This cost recovery can be reviewed periodically to ensure the fee still represents the cost of licensing and permitting.