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HomeMy WebLinkAboutMINUTES - 01281997 - C74 N . .. C . 74*< 70: BOARD OF SUPERVISORS Contra FROM: WARREN E. RUPF, Sheriff Costa DATE: December 27, 1996 SUBJECT: Federal Asset Forfeiture Funds SPECIFIC REQUEST(S) OR RECOMMENDATION(S) a: BACKGROUND AND JUSTIFICATION I. RECOMMENDED ACTION: Direct the Auditor-Controller to establish a separate interest-bearing special revenue fund for Federally forfeited funds from the United States Department of the Treasury to be used by the Sheriff. II. FINANCIAL IMPACT: None III. BACKGROUND/REASONS FOR REOOMMENDATION: Federal and State law,prior Board actions and a local law enforcement memorandum of understanding, specify how funds from narcotic/criminal forfeitures should be used by Contra Costa County. On April 30, 1986, the Board of Supervisors authorized the County to participate in the Federal seized and forfeited property program,pursuant to the comprehensive crime control act of 1984. In compliance with the U.S. Attorney General's guidelines, the Board adopted the policy that Federal forfeitures will be maintained and distributed, according to Federal law. Currently, the Sheriffs Office maintains three forfeiture funds, as required by State and Federal statutes. Two of the funds are State asset forfeiture funds. One of the State asset forfeiture accounts is a trust fund where funds are kept,pending court/administrative actions. The second State asset forfeiture fund is a special revenue account. The funds held in this account are distributions from the trust account,pursuant to court order or administrative action. The third fund is an interest- bearing Federal special revenue account, for shared Federal forfeiture funds. The funds held in this account are from the U.S. Department of Justice, which handles shared asset forfeitures for the Federal Bureau of Investigation and the Drug Enforcement Administration. CONTINUED ON ATTACHMENT: X YES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMEND TION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE(S) ACTION OF BOARD ON January 26, 77 _ APPROVED AS RECOMMENDED X OTHER VOTE OF SUPERVISORS X UNANIMOUS (ABSENT > 1 HEREBY CERTIFY THAT THIS IS A TRUE AYES: NOES: AND CORRECT COPY OF AN ACTION TAKEN ABSENT: ABSTAIN: AND ENTERED ON THE MINUTES OF THE BOARD OF SUPERVISORS ON THE DATE SHOWN. CC: Sheriff-Coroner ATTESTED January 28, 1997 Auditor.-Controller Phil Batchelor, Clerk of the Board of County Administrator Supervisors and County Admir.:st,ator M382/7-83 BY _ `� ��7Z,�"�Y , DEPUTY fJ n Page Two On May 1, 1994, the U.S. Attorney General changed its guidelines to better monitor the uses of Federally forfeited shared funds. One of the changes requires the establishment of a separate interest-bearing account for funds shared by the U.S. Department of the Treasury. The U.S. Department of the Treasury handles shared asset forfeitures for the U.S. Customs Service and the Internal Revenue Service. The new Federal Guidelines no longer allow for the commingling of Department of Justice funds with Department of Treasury funds. In the near future, the Sheriffs Office is anticipating some forfeiture funds to be shared by the Department of the Treasury. The Sheriff is requesting approval for the establishment of an interest-bearing account for the shared asset forfeiture funds from the Department of the Treasury. IV. CONSEQUENCES OF NEGATIVE ACTION: Without the safeguards of separate forfeiture revenue funds for each of the two Federally forfeited shared funds, the County is increasing its liability for Federal audits of shared forfeiture funds. Failure to approve the establishment of a separate interest-bearing revenue account for Federally forfeited shared funds from the U.S. Department of the Treasury would result in the Contra Costa County Sheriffs Office being barred from further participation in the Federal forfeiture sharing programs, civil sanctions or criminal prosecution. 1 b ti 5 1 F F` t :r