Title
Ordinance to Amend and Re-Enact Chapter 37, Article II of the Code of the City of Hampton Entitled “Real Estate Taxes” by Amending Division 6, Sections 37-123, 37-125 and 37-129 Pertaining to Certain Qualified Elderly and Disabled Persons Grandfathered Under the Prior Tax Exemption Program
Purpose
PURPOSE/BACKGROUND:
On May 14, 2014 by Ordinance No. 14-0006, Council amended Chapter 37, Article II, Division 6 of the Code of the City of Hampton pertaining to certain qualified elderly and disabled persons. The amendment eliminated the option pertaining to the exemption of that portion of the real estate tax owed by a qualified elderly and disabled taxpayer leaving the deferral and freeze options available.
On August, 13, 2014 by Ordinance No.14-0016, Council amended Chapter 3, Article II, Division 6 to grandfather those individuals qualified and claiming an exemption as of July 1, 2013 and also having an existing mortgage. Those individuals would continue to be eligible for the tax exemption program until the mortgage was paid off. At the time of pay-off, the individual would be eligible for tax deferral or tax freeze.
Since the adoption of Ordinance No. 14-0016, the City Manager and City Council have been aware of certain difficulties or unintended consequences this amendment will have on certain qualified elderly and disabled persons who have an existing mortgage.
The proposed amendment eliminates the requirement of having an existing mortgage and the provision that at the time of pay-off of the mortgage, the individual would be eligible for tax deferral or tax freeze. Simply stated all individuals who were qualified and claiming an exemption as of July 1, 2013 would be grandfathered regardless of whether they had an existing mortgage. Income and financial worth limitations still apply. The individual must apply every year for the exemption and if they exceed income or financial worth limitations, the exemption is nullified. However, the individu...
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