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d. North Carolina Debt Setoff Program <br /> The Board considered a resolution authorizing staff to include Orange <br /> County in the North Carolina Local Government Debt Setoff Program. <br /> Assistant County Manager Rod Visser said that this is a relatively new <br /> program giving counties the ability to collect debt and to develop an agreement (with <br /> Five Star Computing out of SC) to collect debts. The staff has seen other governments <br /> get involved in this process with Five Star. What is more successful is the simple act of <br /> writing a letter to get people to come in and pay their debts. The staff is recommending <br /> pursuing a pilot initiative related to delinquent taxes on registered motor vehicles. The <br /> County may then broaden the program to collect other debts. <br /> Commissioner Halkiotis asked what it is about South Carolina. The <br /> company that sends out our tax notices is also out of South Carolina. He asked if <br /> anyone in North Carolina did this kind of business. Tax Collector Jo Roberson said that <br /> she did not know why they have chosen this company from SC. <br /> Commissioner Halkiotis said that he is frustrated because we are always <br /> sending our money outside of North Carolina. He said that he finds that there are <br /> loopholes in the system. There are some motor vehicle owners that buy a new tag each <br /> year and do not have to pay their taxes. He thinks it is incredible that North Carolina has <br /> a computer system that cannot double check on people. <br /> Jo Roberson said that the block is tied to the tag and not the VIN number. <br /> Commissioner Halkiotis asked about tagging the VIN number. <br /> Jo Roberson said that the North Carolina Tax Collector and Assessor <br /> Association have been addressing this issue in Raleigh for several years. <br /> Commissioner Halkiotis asked about the number of people with <br /> delinquent tax payments. Jo Roberson said that the numbers are low in the abstract <br /> (500) because you have to have social security numbers to submit these. Also, this late <br /> in the year it would be too hard to accomplish getting the letters out and submitting them <br /> to the State because there are so many. This is why she has suggested doing a pilot <br /> project. <br /> Commissioner Carey thanked the staff for bringing this back to our <br /> attention. He knows that Orange County is compassionate but he does not want those <br /> who have been jumping through loopholes to continue to exploit the system and it is time <br /> to do this and to move forward and to support this item. <br /> Commissioner Brown wants to see more information and how many <br /> motor vehicles are delinquent. Jo Roberson said that from 1993-2001 there were in <br /> excess of 25,000-vehicle tax bills that were left unpaid. <br /> Commissioner Brown does not understand why she only expects $20,000 <br /> to be returned. Jo Roberson said that is because they are only going to do a pilot. This <br /> is a transient County and once people are gone from this State, we have no collective <br /> power. She does not feel that her office can handle submitting all of this because of the <br /> taxation money that comes in December and January. They plan to send out 2,400 <br /> letters for the pilot project. <br /> John Link said that they are only proposing this for the delinquent taxes <br /> for 2001 and this will come back with a report. <br /> Commissioner Brown said that this is not what the resolution says. She <br /> would support the resolution if they change it to say pilot program and what it would <br /> cover. <br /> John Link suggested including in "Be it Resolved" that "The Manager is <br /> hereby empowered to execute these agreements and carry this out as a pilot project for <br /> 2001 back taxes on automobiles." <br />