AG 2010 05 17 - Laserfiche WebLink

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Legislative Issues from Staff: Moratorium on new or expanded exemptions and deferments -Every session the General Assembly creates new or expands existing property tax exemptions and deferments. We have reached the point that we cannot analyze and report the impact of the latest changes before additional changes or additions are made. We feel it is important to fully analyze the impact of recent legislative changes before any new initiatives are launched. Determine an earlier hard deadline for late applications for exemption, deferment or tax relief -the General Statutes are silent regarding specific deadlines for late applications for exemptions and deferments. As a result property owners may literally walk into a tax office on December 31 and submit a late application for exemption. The tax assessors and collectors believe a June 30 deadline would provide an ample six month time frame for the submission of any application for exemption or deferment. General clarification of terminology and definitions used in exemptions and deferral programs: charity care, charitable, sound management, gratuitous use, endangered wildlife, etc. The ambiguous terminology found in the Machinery Act leaves much to be desired in interpreting the law. All annexations -voluntary or involuntary - to be effective on June 30 -this is already a priority goal of the NCACC as suggested by the assessors and collectors for the 2009 session. Increase the January interest for unpaid annual taxes to 5% -the interest rate for unpaid registered motor vehicle taxes in the first month was changed to 5% several years ago to help pay for the new combined "moto-tax" system to be launched in July 2011. The reason tax collectors would like a similar interest amount for the first month of delinquency is to help offset the costs of enforced collections. As in the case of unpaid registered vehicles, it makes sense for those who create the need for enforced collections to help offset the costs of enforcement. Standardized approach to municipal vehicle fees - in the 2009 session counties were given the authority to levy a motor vehicle fee in a similar manner as the City of Winston-Salem and the Town of Kernersville. The law governing vehicle fees allow cities and counties to adopt varying rules as to which vehicles are subject to such fees. The Division of Motor Vehicles has asked that all cities and counties levy the fee similarly so that the new "moto-tax" system can be programmed and applied consistently. SB 117 would prohibit the use of moratoria adopted "for the purpose of developing and adopting new or amended ordinances." In other words, prohibit them for any useful purpose. SB761 could be a benefit or detriment to us. It would limit off-site improvements required for development. As the some times developer of property we would probably be happy to not have to fix roads like Union Cemetery, but as regulators there are cases where there is a direct result from the development that is being addressed by required improvements. Attachment number 6 G-4 Page 130