Whereas, the city recognizes that its local revenues are primarily based on the assessment and collection of taxes and not on the assessment and collection of penalties and interest; and
Whereas, the city has also recognized that the assessment of an interest penalty for late payment of taxes is necessary to serve as an inducement to citizens to make prompt payment of taxes, and that prompt payment of taxes should be a responsible act by citizens rather than an undue burden; and
Whereas the city has always considered the collection of interest as the norm; and
Whereas, the city recognizes that on occasion taxes are paid late through no fault of the taxpayer, and that assessment of interest could cause a further hardship to the citizen; and
Whereas, studies have shown that in the past when interest payments have been waived, the waivers have been for small amounts and made in behalf of taxpayers whose taxes were small; and
Whereas, government must therefore be compassionate with those citizens who can demonstrate a compelling reason for late payment of taxes, insuring that all citizens are treated fairly and equitably in the application of reasonable standards for waiver of interest; and
Whereas, from time to time the best interests of the city and all its taxpayers will be served by not pressing to collect all or part of the interest due on a late tax, or payment of the late tax in lump sum, in order to collect the tax itself.
A.
The city treasurer, following the review and authorization of the city council, may waive payment of all or a fraction of the amount of interest or penalty due on delinquent taxes provided he or she has received satisfactory proof presented by the taxpayer that late payment is being made because of one of the following:
1.
Recent death in the immediate family.
2.
Hospitalization contributing to the late payment.
3.
Waiver is in the best interest of the city (city treasurer must record the reasons for this determination prior to submitting the recommendation to the city council).
4.
Hardship causing late payment (city treasurer must specify the hardship reasons to the city council prior to their acting on the treasurer's recommendations).
B.
The city treasurer shall maintain a proper form in his or her office upon which taxpayers may file for waivers of interest.
C.
A log of interest or penalty waived shall be maintained by the city treasurer for inspection upon request during normal business hours by any member of the public. This log shall be organized generally alphabetically by taxpayer names and shall include the following information:
D.
Interest will not be assessed for taxes received within a five business day processing period following each respective due date.
This section shall take effect upon its final adoption, and will apply to all tax bills due on or after July 15, 1997.
(Prior code § 2-27.3)