Agenda - 08-17-2010 - 4i - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: August 17, 2010 Action Agenda Item No. ~{- " ~I SUBJECT: Release of Debts DEPARTMENT: Tax Administration PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Chart of Amounts Memorandum of Explanation Copy of Relative Statutes INFORMATION CONTACT: Jo Roberson, 245-2735 PURPOSE: To release debt owed to Orange County in excess of 10 years that is no longer collectible. BACKGROUND: Under North Carolina General Statute (NCGS) 105-373 (g), the Board of County Commissioners "may, at their discretion, relieve the Collector of the charge of taxes owed by persons previously presented on the insolvent list that are five or more years past due when it appears to the governing body that such taxes are uncollectible". Presented as part of this abstract is a listing by year beginning with 1984 through 1999 of personal property that have been pursued extensively and can no longer be collected using enforced ..collection techniques. NCGS 105-373 (h) addresses the relief from collection of taxes on classified motor vehicles. To remain uniform, presented as part of this abstract is a listing by year beginning with 1993 through 1999 of Classified Registered Motor Vehicles that have been pursued extensively and can no longer be collected using enforced collection techniques. NCGS 105-378(a) specifically bars the use of enforced collections unless the procedure was instituted within 10 years from the date the tax first became due. In discussion with the Financial Services Department, there is agreement that good accounting practice would be to release this debt from the charge and system maintained by the Tax Administration Department. FINANCIAL IMPACT: A total amount of $2,560,314.04 would be released in debt from the years 1984 through 1999 in personal property and registered motor vehicle ad valorem property tax.