Agenda - 09-15-2009 - 4g - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: September 15, 2009 Action Agenda Item No. - SUBJECT: Inclusion of 3R Fees in the North Carolina Debt Setoff Program DEPARTMENT: Revenue/Tax Collections PUBLIC HEARING: (Y/N) No ATTACHMENT(S): INFORMATION CONTACT: Jo Roberson, 245-2727 PURPOSE: To authorize the Revenue DirectorlTax Collector to begin the inclusion of 3R fees in the North Carolina Debt Setoff Program. BACKGROUND: Beginning in 2002 at the direction of the Board of County Commissioners, Orange County began participation in the North Carolina Debt Setoff Program. Through the initial letters sent to outstanding tax payers as part of the Program stating the intent to intercede with NC Income Tax Refunds, the County has collected in excess of $1,000,000 over the past eight years. In addition, by utilizing the N. C. Debt Setoff Program as an additional collection tool, the Revenue Department has through submittal to the State successfully collected $103,676 through FY 2008-09. In 2005 the BOCC directed the Tax Collector to include the 3R Fee on tax billings of all real property in Orange County. Though the collection of the fees has been successful, there are some remaining outstanding balances owed by some property owners for each year since 3R fee inception. A total of $57,147.97 is currently outstanding for 2005-2008. FINANCIAL IMPACT: Staff estimates that inclusion of the 3R fee in the current Debt Setoff Program will lead to the receipt of a minimum of $10,000 and perhaps more as the program continues forward, thereby providing additional revenue for deposit to the Enterprise Fund. RECOMMENDATION(S): The Interim Manager recommends that the Board approve the inclusion of the 3R fee in the Debt Setoff Program and direct the Revenue Director/Tax Collector to take the necessary steps to include delinquent 3R fees in the Debt Setoff Program process.