§ 1-6. Special assessment deferral.

Pursuant to Minn. Stat. §§ 435.193—435.195 senior citizens, retired disabled homeowners and members of the Minnesota National Guard or other military reserves may defer special assessments levied against single or two-family residential property if the criteria set forth in subsections (1)a through c of this section are met by the applicant.

(1)

Eligibility. Senior citizens must be persons 65 years of age or older. Retired disabled homeowners must be totally and permanently disabled as determined by the Social Security Administration. Members of the Minnesota National Guard or other military reserves must be ordered into active service, as defined in Minn. Stat. §§ 190.05, subds. 5b or 5c, as stated in the person's military orders. Homeowners meeting these criteria may defer special assessments levied against real property for public improvements if the following conditions are met:

a.

Ownership. The applicant must be the fee simple owner of the property or must be a contract vendee for fee simple ownership. An applicant must provide either a recorded deed or contract for deed with the application to establish a qualified ownership interest as required herein.

b.

Homestead. The property must be the applicant's principal place of domicile and classified on the city's and county's real estate tax rolls as the applicant's homestead.

c.

Hardship. The average annual payment for assessments levied against the property exceed one percent of the adjusted gross income of the applicant as evidenced by the applicant's most recent federal income tax return. The average annual payment of an assessment shall be the total cost of the assessment divided by the number of years over which it is spread.

(2)

Interest on deferred assessment. All deferred special assessments shall be subject to and charged simple interest at the prevailing interest rate applicable at the time the assessment was originally levied. Said interest shall be payable upon termination of the deferral status.

(3)

Termination of deferral status. Special assessment payments deferred pursuant to the eligibility requirements set forth by this Code shall become payable effective upon the occurrence of one of the following events:

a.

Sale of property. The subject property is sold, transferred, subdivided or in any way conveyed to another by the fee owner qualified for deferral status.

b.

Death of owner. The death of the fee owner qualified for deferral status unless a surviving joint tenant, tenant in common or contract vendee is eligible for the deferral benefit provided hereunder.

c.

Nonhomestead property. The subject property loses its homestead status for any reason.

d.

No hardship. The city council determines that there would be no hardship to require an immediate or partial payment of the deferred special assessment.

e.

Military hardship. In the case of a military service deferral, the deferral shall terminate 90 days after the release of the service member from active duty.

(4)

Filing for deferral status/fee. Applications for deferral status may be made only during the year in which the project is initially assessed. An eligible applicant must file an application on or before October 31 of the year in which the project is initially assessed in order to implement the deferral program. All deferral applications must be made on forms approved by the city and submitted to the New Hope Department of Finance/Administration. The applicant will be charged an administrative filing fee as set forth in the city's fee schedule for the purpose of processing the application.

(5)

Special assessment partial payment. One partial payment will be accepted and credited to any special assessment levied against real property in the city per Minn. Stat. ch. 429 within 30 days from the date the city council adopts a resolution approving said special assessments. The payment must be made to the city finance director within this time period otherwise it will not be accepted by the city. The remaining unpaid balance will be certified to the county assessor and apportioned to the property's real estate taxes for payment per the collection procedure set out in Minn. Stat. ch. 429.

(Ord. No. 91-12; Ord. No. 91-13; Ord. No. 92-11; Ord. No. 93-05; Ord. No. 94-13; Ord. No. 96-6; Ord. No. 96-13; Ord. No. 97-26; Ord. No. 02-03, § 1, 3-11-2002; Ord. No. 11-05, §§ 1—3, 12-12-2011; Ord. No. 16-06, § 2, 6-27-2016; Memo. of 2-5-2018)