Cowlitz County finance director summarizes treasurer—ollections, investments and delinquent accounts

Kathy Funk Baxter, Cowlitz County finance director, presented the treasurer's office first-quarter financials, saying the office is funded from the general fund and brings in a majority of the county's revenue.

Baxter said the treasurer's office is budgeted for $21,583,000 in property-tax revenue for the year and has collected $1,943,000 so far as of the first quarter. She noted a large influx of property-tax receipts is expected in April when first-half taxes are due.

"Our treasurer's office is funded by the general fund. So, but they are one of our departments to bring in the majority of our revenue," Baxter said. She described other revenue lines: goods and services budgeted at $217,006.50 (actual $40,778), fines and penalties budgeted at $300,000 (actual $52,250), and miscellaneous budgeted at $2,700,000 (actual $157,000 so far), which includes unclaimed-property receipts from foreclosures.

Baxter explained the accounting treatment for unclaimed-property receipts: excess funds from foreclosure sales remain in the treasurer's fund for three years while the county attempts to notify owners; unclaimed funds then revert to the general fund. She told commissioners that unclaimed-property receipts are difficult to budget precisely because of that waiting period and owner-claim uncertainty.

On expenses, Baxter said treasury personnel costs are budgeted at $937,110 with current actuals of about $188,000, representing roughly two and a half months of salary and benefits. The department currently shows 10 full-time equivalents and no vacancies.

Baxter reported the treasurer's investment pool had a portfolio balance of $411,700,000 at the end of the first quarter, with an average interest rate of 4.59%. She said about 30% of the pool is kept in the Washington State Local Government Investment Pool (LGIP) for liquidity; the LGIP rate was 4.38% at the time of reporting and carries roughly a 23-day average maturity.

She described the internal fee structure for the county investment pool: fees charged to participating funds are budgeted at $200,000 and are used to pay for investment services, an external adviser and a portion of the deputy investment officer's salary. "We estimate every year on our total average daily balance of the pool and come up with how many basis points we're gonna charge to our participants," Baxter said. She added that participant fees are charged uniformly: "They all pay the same fee."

Baxter also reviewed delinquent personal property collections. She reported that in July 2024 there were 236 delinquent personal-property accounts; through staff work and coordination with the assessor's office, that number had dropped to seven accounts at the time of the meeting. She said some closed businesses were removed from the roll and eight businesses were placed on payment plans. Baxter cautioned the count will rise after April 30 when taxpayers who miss the tax deadline are processed, because the county accepts postmarks through April 30.

Commissioners asked for a breakdown showing gross property-tax collections and the county's retained share; Baxter agreed to provide a breakdown showing what percentage of gross property tax the county keeps. A commissioner noted the county's share is relatively small compared with total property-tax collections that are distributed to multiple taxing districts.

No formal action was recorded on the financial presentation; commissioners asked for the requested follow-up breakdown of gross tax receipts and county share.