H O W T O

I N VO I C E T X D O T G R A N T F U N D S

A L L I S O N, B A SS & M A G E E , L L P4 0 2 W E S T 1 2 T H

A U S T I N, T X 7 8 7 0 1

Invoicing the TxDot Grant Fund

Project

CETRZ BASICS

Tax Values Without TRZ

Tax Values TRZ

2014 Base Year Values

At same rate, tax bill will be higher if value increases.

Future Tax Year Values

2014 Base Year Values

Only the increase in value is captured…no increase in rate…but tax bill is based on value.

Gen. Fund

Gen. Fund

% to TRZ Fund

Taxes rate may not increase, but Tax Bill will go up with increased valuation, And will decrease with fall in valuation.

No change in appraisal process. Only if increase in valuations will tax bill go up, but any increased value above base year is captured for TRZ Fund

Future Tax Years

Effective Tax Rate

Effective Tax Rate-§26.05 Tax Code Last year’s Levy-Lost Property Divided by Current Year Value-New Property

Value Last year’s Tax Revenue less any property lost by

appeal, corrections to roll, exemptions, etc. Divided by Current year less “new property value),

i.e. values added after January 1 of the preceding year, or subject to abatement.

Tax Increment Funds (CETRZ) §26.03 Tax Code-By Statute is “excluded” from definition of new property, but is excluded from the value of proprety taxable by the unit in any tax rate calculation.

Roll Back Rate

Maintenance and Operations Rate multiplied by 1.08 plus Current Debt Rate. Maintenance and Operations means

total budgeted expenditures other than debt service.

Current Debt Rate is the cost of debt service less excess collections divided by the current total value multiplied by the collection rate, plus any junior college levy divided by current total value.

Short hand: This years planned budget cannot exceed 8% increase plus debt service. (TIF treated like debt), so the CETRZ will not count in roll back calculation.

New Consideration of CETRZ/TRZ

Deadlines for TxDot Grant were too short to fully consider CETRZ/TRZ issues. Can, in proper circumstances, be a

valuable tool. Now is time to consider broader use of

this tool, but it takes careful consideration: What sum of money is desired/needed? What have tax values done in the past

and foreseeable future? What sorts of development is expected?

CETRZ requires 100% to Transportation.

TRZ allows allocation between Transportation and General Fund

INVOICING AND COMPLIANCE

Each Invoice is Composed of 4 Parts

An Individual Project Billing Summary Sheet Each road or project should have an

Individual Billing Summary Sheet, with a total for the “current” billing cycle, previously billed amounts, and the current total for that road or project.

An Administrative Summary Each Invoice should reflect any

administrative costs for that billing period.Project Billing Summary

Each Invoice should have a Summary of all Individual Reports

Invoice Cover Page Carries over to one place the totals from

the Summary and Administrative Costs worksheets.

Work Backward From Individual Project Report

Because the Invoice requires information from all active projects, it is best to prepare the Individual Project Reports first, and then enter the information from each Individual Project into the Project Summary Sheet.

And, from the Project Summary Sheet to the actual Invoice.

All the numbers should add up and be consistent.

Individual Road or Project Billing Statement

Attach to Individual Road or Project Reports

Invoices from any Contracting supplier Materials Labor Equipment

County Forces Costs Labor cost Equipment Cost (May use FEMA or

your own data) Fuel cost (may be separate or included

in Equipment Cost (FEMA includes fuel cost)

Sample DocumentationContracted

Sample DocumentationContract Invoices

Sample DocumentationContracted

Sample DocumentationContracted

RECAP-Contracted Work

Sample DocumentationCounty Forces

Sample DocumentationCounty Forces

Sample DocumentationCounty Forces

Sample DocumentationCounty Forces

Sample DocumentationCounty Forces

RECAP-County Forces

You do not need to attach actual timecards for each employee, or actual rate cards for each piece of equipment, but you do need to have basis for charges.

Keep logs of equipment hours, signed by responsible supervisor.

Employee hours verified by responsible supervisor.

Materials purchased should have invoices from supplier. Do not need to attach to report, but keep for audit.

Administrative Cost Sheet

Administrative Cost Worksheet

Administrative fees for setting up the CETRZ are allowed.

Include this cost on your first Invoice. Reimbursements will be included in total grant amount.

In subsequent invoices, any administrative costs should be reflected on individual projects.

Remember to carry over the administrative costs from prior invoices.

Administrative Backup

Summary Sheet

Summary Sheet

Carry over from each individual road project: the ID or project name/number Description of Project from Prioritized

Project List.Current billing (Column B)Prior billing (Column A)and Total Billed to date.

Invoice are to be made between the 15th and 25th of each month once project begins.

Carry the amount billed in the prior invoice over to the following invoice as Previously Billed.

The Total Billed during Current Billing Period will be the prior billed amount plus the current billed amount.

Invoice

Invoice Cover Sheet

Try to stay current with Billing…once a month during project. Between the 15th and 25th are required

billing dates, invoices received after the 25th will be held until the next month.

Give the Invoice a number: 1st Invoice, 2nd Invoice, 3rd Invoice 1-061514, 2-062514, 3-071514, 4-072514

Track the billing period, June 1 through June 15

Calculate the proper % for each line item. Multiply by .8 for standard county Multiply by .9 for disadvantaged counties

Attachments

We have attached the following: Memo on Invoicing

Sample First InvoiceSample Second Invoice

Subsequent invoices will be similar, but will be updated with the prior invoice amounts

Call us if you have questions: 512-482-0701, and ask for:

Andrea Eric Bob Jim