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HomeMy WebLinkAboutItem 06.hOctober 29, 2015 Item No.________ DEFERMENT OF SPECIAL ASSESSMENTS FOR SENIOR CITIZENS AND RESIDENTS WITH DISABILITIES November 2, 2015 City Council Meeting Proposed Action Staff recommends adoption of the following motion: Move to approve the deferment of special assessments for those qualifying senior citizens and residents with disabilities for taxable year 2016. Passage of this motion will result in the deferment of special assessments payable in 2016 for those qualifying senior citizens and residents with disabilities. Overview The City Council can defer the payment of any special assessment on homestead property owned by an individual who is at least 65 years of age or is unemployed due to a total and permanent disability and meets the income requirements. The City Resolution Authorizing Deferment of Special Assessments requires that the average annual payment for assessments levied against the property must exceed one percent (1%) of the applicant’s adjusted gross income. Senior Citizen deferments are classifications that must be reapplied for annually. Deferment applications and income information have been submitted to the City by residents who were assessed as the result of street reconstruction projects. Two applicants reported an increase in income which, based upon the Resolution, exceed the income limit to qualify for the senior deferment. In such event, in accordance with the City’s special assessment policy, the deferment is terminated and all unpaid installments on the special assessment, including interest, become due and payable in full. Residents may re- apply for the deferment in the future if their income is reduced to a qualifying amount. Primary Issues to Consider • Will termination of the senior deferment and requirement to pay all unpaid installments on the special assessment result in a hardship to the property owners who no longer qualify? Supporting Information • Special Assessment Deferment Allocation Jerilyn Erickson, Finance Director Financial Impact: $None Budgeted: N/A Source: N/A Related Documents (CIP, ERP, etc.): _______________________________________ Notes: _______________________________________________________________ Staff Analysis of Primary Issues Will termination of the senior deferment and requirement to pay all unpaid installments on the special assessment result in a hardship to the property owners who no longer qualify? The following applications for special assessment deferment have been pulled due to increased incomes that exceed the limit for deferment eligibility: 6614 Flounder Ct. Original Asst. $3,786.44 Deferred installments: $327.53 Project: 2014 Street Reconstruction Property owner’s income exceeds the limit for deferment eligibility. Property owner has provided information indicating that certain income received was one-time and anticipates meeting income guidelines going forward; therefore, termination of the deferment and requirement to repay the deferred installments would create a hardship. Staff recommends that the deferment continue for 2016 and has included this on the deferral list. *** 16550 Florin Ave. Original Asst. $4,162.36 Deferred installments: $1,061.40 Project: 2012 Street Reconstruction Property owner’s income exceeds the limit for deferment eligibility. Information has not been provided that supports continuance of the deferment due to a hardship. Staff recommends termination of the deferment. If property owner fails to pay the unpaid deferred installments by November 15, 2015, such amounts will be certified to the 2016 property taxes. SPECIAL ASSESSMENT DEFERMENT ALLOCATION Address City Project 20540 Idalia Avenue 5,337.09$ 2011 Street Reconstruction 20245 Hunter Ct.1,851.46$ 2011 Street Reconstruction 17130 Florida Ct.4,162.36$ 2012 Street Reconstruction 16557 Frazer Way 4,162.36$ 2012 Street Reconstruction 6656 Gerdine Path 4,162.36$ 2012 Street Reconstruction 6663 168th St. W.4,162.36$ 2012 Street Reconstruction 16642 Gerdine Path 4,162.36$ 2012 Street Reconstruction 20856 Iran Ave.6,040.04$ 2013 Street Reconstruction 16490 Gannon Ave.3,235.84$ 2013 Street Reconstruction 16649 Genesee Ave.3,235.84$ 2013 Street Reconstruction 16474 Gannon Ave.3,235.84$ 2013 Street Reconstruction 16249 Finch Way 3,786.44$ 2014 Street Reconstruction 16460 Flagstaff Way 3,786.44$ 2014 Street Reconstruction 6585 Lower 169th St. W.3,786.44$ 2014 Street Reconstruction 7430 170th Ct. W.3,786.44$ 2014 Street Reconstruction 16237 Excelsior Dr.3,786.44$ 2014 Street Reconstruction 6614 Flounder Ct.***3,786.44$ 2014 Street Reconstruction 66,466.55$ Original Assessment Amount Deferred