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HomeMy WebLinkAboutAgenda - 10-16-2018 8-c - Property Tax Releases Refunds 1 ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: October 16, 2018 Action Agenda Item No. 8-c SUBJECT: Property Tax Releases/Refunds DEPARTMENT: Tax Administration ATTACHMENT(S): INFORMATION CONTACT: Resolution Dwane Brinson, Tax Administrator, Releases/Refunds Data Spreadsheet (919) 245-2726 PURPOSE: To consider adoption of a resolution to release property tax values for twenty-four (24) taxpayers with a total of thirty-two (32) bills that will result in a reduction of revenue. BACKGROUND: The Tax Administration Office has received twenty-four (24) taxpayer requests for release or refund of property taxes. North Carolina General Statute 105-381(b), "Action of Governing Body" provides that "upon receiving a taxpayer's written statement of defense and request for release or refund, the governing body of the Taxing Unit shall within 90 days after receipt of such a request determine whether the taxpayer has a valid defense to the tax imposed or any part thereof and shall either release or refund that portion of the amount that is determined to be in excess of the correct liability or notify the taxpayer in writing that no release or refund will be made". North Carolina law allows the Board to approve property tax refunds for the current and four previous fiscal years. FINANCIAL IMPACT: Approval of this change will result in a net reduction in revenue of $984,552.05 to the County, municipalities, and special districts. The Tax Assessor recognized that refunds could impact the budget and accounted for these in the annual budget projections. SOCIAL JUSTICE IMPACT: There is no Orange County Social Justice Goal impact associated with this item. RECOMMENDATION(S): The Manager recommends that the Board approve the attached resolution approving these property tax release/refund requests in accordance with North Carolina General Statute 105-381. 2 NORTH CAROLINA RES-2018-062 ORANGE COUNTY REFUND/RELEASE RESOLUTION(Approval) Whereas,North Carolina General Statutes 105-381 and/or 330.2(b)allows for the refund and/or release of taxes when the Board of County Commissioners determines that a taxpayer applying for the release/refund has a valid defense to the tax imposed;and Whereas,the properties listed in each of the attached"Request for Property Tax Refund/Release" has been taxed and the tax has not been collected: and Whereas,as to each of the properties listed in the Request for Property Tax Refund/Release,the taxpayer has timely applied in writing for a refund or release of the tax imposed and has presented a valid defense to the tax imposed as indicated on the Request for Property Tax Refund/Release. NOW,THEREFORE,IT IS RESOLVED BY THE BOARD OF COUNTY COMMISSIONERS OF ORANGE COUNTY THAT the recommended property tax refund(s)and release(s)are approved. Upon motion duly made and seconded,the foregoing resolution was passed by the following votes: Ayes: Commissioners Noes: I,Donna Baker,Clerk to the Board of Commissioners for the County of Orange,North Carolina, DO HEREBY CERTIFY that the foregoing has been carefully copied from the recorded minutes of the Board of Commissioners for said County at a regular meeting of said Board held on ,said record having been made in the Minute Book of the minutes of said Board, and is a true copy of so much of said proceedings of said Board as relates in any way to the passage of the resolution described in said proceedings. WITNESS my hand and the corporate seal of said County,this day of ,2018. Clerk to the Board of Commissioners 3 Clerical error G.S.105-381(a)(1)(a) BOCC REPORT - REAL/PERSONAL Illegal tax G.S.105-381(a)(1)(b) Appraisal appeal G.S.105-330.2(b) OCTOBER 16, 2018 ACCOUNT BILLING ORIGINAL ADJUSTED FINANCIAL NAME NUMBER YEAR VALUE VALUE IMPACT REASON FOR ADJUSTMENT ADDITIONAL INFORMATION Bartch,Lori U. 258248 2018 58,000 33,510 (307.69) Incorrect value(clerical error) Value appeal of personal property Berry,Brenda 104899 2018 71,860 34,700 (346.11) Assessed in error(illegal tax) Personal property requested to be separated from the real property because of escrow Carrboro,Town Of 988478 2018 374,300 - (6,163.22) Assessed in error(illegal tax) *Exempt property billed in error(Government) Chapel Hill Residential 139999 2018 5,219,200 - (60,104.30) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Chapel Hill Residential Retirement,DBA Carol Woods 953010 2018 57,721,400 1,122,000 (894,383.71) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.7 Other Charitable) Empowerment Inc. 315694 2018 52,800 - (834.34) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 137147 2018 109,500 (1,703.31) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322984 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing Empowerment Inc. 322985 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322986 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322987 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322988 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322989 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Empowerment Inc. 322990 2018 70,400 (1,159.20) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.6 Charitable Low-or Moderate Income Housing) Town of Hillsborough 313534 2018 8,400 (123.51) Assessed in error(illegal tax) *Exempt property billed in error(Government) Independent Roasting Company LLC dba Gray Squirrel 1061399 2018 388,870 287,054 (1,130.30) Assessed in error(illegal tax) Leasehold improvement costs were listed that were deemed to be included in the real property Lang,Linda 1067557 2018 10,520 - (424.60) Assessed in error(illegal tax) Gap Bill:vehicle registered in California during gap period Lininger,Ruth 185676 2018 549,563 533,700 (152.94) Assessed in error(illegal tax) Property listed in Pamlico County Marks,Steven 1072445 2018 21,030 - (969.25) Assessed in error(illegal tax) Gap Bill:vehicle registered in Illinois during gap period McCrimmon,Teresa ETAL 34909 2018 105,000 5,300 (1,575.46) Assessed in error(illegal tax) Property was miscoded and taxed as a buildable lot.Lot is not buildable and is encroached upon Poulton,John 142382 2018 355,508 329,608 (297.59) Double billed(illegal tax) Shop was taxed on correct property and also taxed on an adjacent property Ranc,Jean 1072431 2018 5,220 - (281.83) Assessed in error(illegal tax) Gap Bill:vehicle registered in multiple states during 41 month gap period Roland,Alison 1072453 2018 6,890 (217.76) Assessed in error(illegal tax) Gap Bill:vehicle registered in Maryland during gap period Roman Catholic Diocese 232023 2018 190,200 - (1,791.49) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.3 Religious Purpose Sanchez,Gabriel S. 1062664 2018 102,500 48,700 (493.99) Incorrect value(clerical error) Incorrect residence was sketched on the property record card causing value to be overstated Sevilla,Carla 1072364 2018 12,550 - (644.53) Assessed in error(illegal tax) Gap Bill:vehicle registered in Connecticut during gap period Sivak,Joseph 1072318 2018 11,770 - (371.97) Assessed in error(illegal tax) Gap Bill:vehicle registered in Maryland during gap period Sulik,Kathleen 177457 2018 780,000 762,400 (205.20) Assessed in error(illegal tax) Value appeal of personal property Waters,Candace Mitchell 1072306 2018 2,550 - (125.97) Assessed in error(illegal tax) Gap Bill:vehicle registered in Pennsylvania during gap period White Cross Volunteer fire Department 202027 20181 242,700 - (2,339.87) Assessed in error(illegal tax) *Exempt property billed in error(G.S.105-278.7 Other Charitable) Wiebe,Barbara 288197 2018 400,7701 395,580 (47.87) Assessed in error(illegal tax) Property sold 2017 Wilson,Odessa Verrine 1066396 2018 177,3001 88,650 (1,400.84) Assessed in error(illegal tax) Application received timely,but additional information requested was not received until after billing Total (984,552.05) The spreadsheet represents the financial impact that approval of the requested release or refund would have on the principal amount of taxes. Approval of the release or refund of the principal tax amount also constitutes approval of the release or refund of all associated interest,penalties,fees,and costs a urtenant to the released or refunded princi pal tax amount. *These properties were previously exempt,but due to a change in our billing process these were either billed in error,or were assessed at full value in error. August 16,2018 thru September 12,2018