O.C. Assessor Spurning Grants Despite Backlog

Three months after an independent audit criticized him for not seeking millions of dollars in state loans and grants, Orange County Assessor Bradley L. Jacobs still refuses to participate in a program that could provide the extra resources he says his office needs.

Jacobs’ stance has frustrated county supervisors and administrators, who have been urging him both at Board of Supervisors’ hearings and in private meetings to apply for the grants.

Orange County was eligible for up to $21 million when the three-year program was created in 1995. Because the county didn’t apply for funds last year, the most it can now receive is about $14 million. The county has until June to apply for this year’s allocation.

With no resolution to the stalemate in sight, County Chief Financial Officer Gary Burton said this week that he might apply for some of the state money himself. But he admits the move probably won’t work because state law requires the county assessor to approve the application.

“I was in Sacramento last month and every county [official] sitting at my table had applied for money and said this was a good program,” Burton said. “But there seems to be an unwillingness on the part of the assessor to participate. I just don’t understand it.”

Jacobs’ stance also perplexes state officials, who said the Property Tax Administrative Loan Program could help the assessor’s office deal with the deep backlog in assessment appeals cases. Forty of California’s 58 counties participate in the program, including all six Southern California counties.

“We’ve worked with a lot of counties that are interested but aren’t sure if they are eligible,” said H.D. Palmer, information officer with the state Department of Finance. “We are very happy to help if counties have an interest.”

Jacobs declined comment, referring inquiries to Webster J. Guillory, management service manager for the assessor’s office.

Guillory said that Jacobs has not ruled out applying for the money, but will not do so until “all his questions are answered.”

“This subject is still under review,” he said.

Guillory said Jacobs remains concerned that the county might not be eligible for the program because of a requirement that participants maintain a minimum level of staffing. The assessor does not have the money to hire the 15 or more employees needed to satisfy the state requirement, he said.

Under the program, the state provides the money to counties in the form of loans. The county then agrees to efficiency goals that, if met, automatically convert the loans to grants.

Guillory said Jacobs is still studying how his office would repay the loans if it did not reach the goals.

The assessor’s office has been struggling for the last four years with a backlog of assessment appeals cases filed by property owners who want their valuations reduced to conform with Orange County’s real estate market.

The flood of requests caused delays in the processing of appeals. The assessor’s office took another hit when the Board of Supervisors cut its budget in the wake of the December 1994 county bankruptcy. Jacobs vigorously opposed the cuts, saying his office actually needed more employees to handle its workload.

Given Jacobs’ call for more resources, some county officials said they are puzzled at his hesitance to apply for the state money.

“I would sure like to break this impasse,” Board Chairman William G. Steiner said. “It benefits both the County of Orange and the taxpayers to receive this funding and address Brad Jacobs’ continual pleas for more staffing.”

Because Jacobs is elected by county voters, neither the Board of Supervisors nor County Chief Executive Officer Jan Mittermeier can tell him how to run his office or force him to seek the state funding. His term expires in 1998.

An audit, commissioned last year by the Board of Supervisors, agreed that Jacobs’ office needed more workers and suggested the state program as an avenue to beef up staffing. The audit found that because of understaffing, the assessor’s office is not performing some state-mandated property value reviews.

Since the audit was released last December, county officials have met with Jacobs’ staff in an effort to address his concerns. But the meetings have failed so far to reach any consensus.

Burton acknowledged that the county might not be eligible to receive the full $14 million. But he said it makes sense to submit applications and work with the state to determine what funding is available.

“I believe the obstacles can be overcome if we can get the assessor to put on a creative hat,” Burton said. “All [the state] can do is say no.”

In addition to the assessor’s office, the auditor-controller’s office and clerk of the board are also eligible for state money because of their role in the assessment appeals process. But Jacobs must approve applications for those offices as well--something he has so far been unwilling to do, officials said.

The program gives assessors the ultimate authority to submit applications because “they are in the best position to know what the needs are,” said Palmer, with the state Department of Finance.

(BEGIN TEXT OF INFOBOX / INFOGRAPHIC)

Gift Horse Declined

The Orange County assessor’s office has so far refused to participate in a state program providing millions of dollars in grants and loans to counties struggling with assessment appeals backlogs. Orange County is eligible for about $12 million. Here’s what other counties have received, amounts in millions:

Los Angeles: $27.0

Riverside: $5.2

San Bernardino: $4.2

San Diego: $10.8

Ventura: $1.5

Source: California Department of Finance

Researched by SHELBY GRAD / Los Angeles Times