LEGISLATIVE ACTION ITEM
SPONSOR: Grover C. Robinson, IV, Mayor
SUBJECT:
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Memorandum of Understanding between the Escambia County Property Appraiser, Escambia County Tax Collector, and the City of Pensacola for collection of fraudulently claimed homestead exemptions leading to unpaid taxes
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RECOMMENDATION:
recommendation
That City Council approve the Memorandum of Understanding between the Escambia County Property Appraiser, Escambia County Tax Collector, and the City of Pensacola. Further, that City Council authorize the Mayor to execute all documents related to the Memorandum of Understanding.
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HEARING REQUIRED: No Hearing Required
SUMMARY:
The Property Appraiser has the authority under §193.155, Florida Statutes, to determine whether a taxpayer has incorrectly claimed a homestead exemption, resulting in unpaid taxes. Further, the Property Appraiser has the authority to cancel or remove a homestead exemption as a result of a determination that it was incorrectly claimed or applied. The Property Appraiser intends to contract with an outside vendor that will investigate and provide information to the Property Appraiser of property owners that are improperly benefitting from the homestead exemption. The Property Appraiser will conduct its own due diligence, and the Tax Collector will be responsible for collecting any unpaid taxes, interest, and penalties. The Tax Collector will pay twenty-eight percent (28%) of any taxes, penalties, and interest collected as a result of the actions of the Property Appraiser canceling or removing a homestead exemption as a result of the data analysis from the third-party vendor. The remaining seventy-two percent (72%) of the monies recovered will be distributed to the taxing authorities as part of the regular tax distribution from the Tax Collector.
The Property Appraiser is required to submit the tax roll no later than June 1, and that includes determination of homestead exemptions. This matter is being presented as an add-on in an effort to complete the MOU sooner in order to maximize the amount of time that Property Appraiser has to investigate any possible homestead exemption fraud.
PRIOR ACTION:
None
FUNDING:
N/A
FINANCIAL IMPACT:
Financial Impact unknown at this time. However, the City will receive their portion of any unpaid taxes due once a final determination has been made. The funds received will accounted for in the General Fund.
CITY ATTORNEY REVIEW: Yes
2/21/2020
STAFF CONTACT:
Keith Wilkins, City Administrator
Susan Woolf, City Attorney
ATTACHMENTS:
1) Memorandum of Understanding (MOU) - Escambia County
PRESENTATION: Yes end