During the August 2, 2010 Middletown Township workshop meeting Resolution 10-203 was passed unanimously by the Township committee with little fanfare or discussion. At the time it didn’t raise any concerns or eyebrows of those in attendance, now however, some 3+ months later that isn’t the case.
Resolution 10-203 authorized the Township to conduct an accelerated tax sale by the end of the year. The resolution (shown below) is vague in its detail and it’s no wonder that it didn’t cause people to question its motive until Monday November 29, 2010 when residents attempted to pay their tax bills before the end of the month:
RESOLUTION 10-203 AUTHORIZING AN ACCELERATED TAX SALE
WHEREAS, NJSA 54:5-19 permits a municipality to sell liens on delinquent
municipal charges prior to the close of the Calendar Year 2010, and
WHEREAS, the Township of Middletown has realized an exceptional tax
collection rate through this process, and
WHEREAS, the Township of Middletown CY 2010 Budget has anticipated
continuing an Accelerated Tax Sale;
NOW, THEREFORE, BE IT RESOLVED, that the Tax Collector of the
Township of Middletown is hereby authorized to conduct an Accelerated Tax Sale for the Calendar Year 2010.
BE IT FURTHER RESOLVED, that the Township Clerk is directed to file two
certified copies of this resolution with the Director of Local Government Services.
Nowhere does it state that after November 10th 2010 residents would not be able to use personal checks, credit or debit cards to pay their property taxes. And nowhere does it state that after this date only cash or certified cashier checks would be accepted as payment. The Township's website does state however, how to pay your taxes using a credit card
It does not state when the tax sale is to take place or what criteria is to be used in determining who's residences or businesses would be subjected to a tax lien and place up for sale for not paying their property taxes on time.
As a matter of fact, there is no specific location on the Township's website that addresses any of these issues, only a vague a reference that states "any appropriate municipal charges remaining unpaid after November 11th of the tax year will be subject to tax sale." under the Tax Payment Information tab located within the Tax Collector section of the website.
Who made up these new guidelines? Who and when were they approved? And why were they not openly made public knowledge?
There has been no announcement placed in the Township’s newsletter “Middletown Matters”, no reverse 911 phone calls made or any postings on the Township municipal access cable channels. Why is that? Other less important announcements have been made using these methods over the past few months, why not this time?
As I stated before, I can’t imagine Middletown would be so hard up for tax revenues that the Township would rather place a resident’s home in a tax sale for being slightly more than 10 days late in a tax payment, than accept a credit card as payment in lieu of cash. It is paramount to extortion, either you pay your taxes on time or you will have to pay us in cash. If not, a lien will be placed on your house and put it will be put up for sale.
Someone really needs to address this before people's lives are thrown into chaos over this.
14 comments:
Aren't the August meetings the ones there were even questions about the required posting of the proper notices in the newspapers?
Why is this township engaging in the questionable practices it has in these last couple of years.
The defiance of the County Tax Board during the revaluation,the absurd conduct with the turf field proposals and now this crap !
Transparency in government in Middletown Township is non existent.
Wonder who those elected to serve think they are serving .It is absurd to consider anyone late 10 days in a tax payment, a candidate for a tax sale. Don't believe the state laws would even allow it !
What exactly is WRONG with the legal help this town currently employs ? Does Mr. Nelson not understand just who pays his salary...Does he spend too much time on politics and not enough doing the job he is hired to do...protect the people in this township ?
About time some of this changed or the TC should hire a new lawyer.
Resolutions like this one in question only got a fee for the lawyer ....it did nothing for the residents of Middletown,that's for sure !!!
My understanding is that this was done to prevent the vast majority of taxpayers who pay on time from having to foot the bill for the loans the town would have to take to "float" these late payments. Is that not correct?
The Town is required by law to make the payment to the schools and the county by a certain date, without regard to whether or not all of the taxes have been paid yet, correct?
By having the tax lien sale in the same calendar year, the tax rate was kept lower for 2010, which was not done in the past.
Can't have it both ways. Either the town proceeds in ways that keep the tax rate from rising unnecessarily, or they don't...
Jay,
The problem is not with the tax lien sale itself. The problem is with how it has been applied.
How can you put a lien against someones property and attempt to place it up for sale when their tax payment is only a few days late? We're. Not talking months here.
And what was the thinking behind turning people away and demanding cash or certified bank check as payment? No one was informed of this and there was no notification prior to Monday.
As you say, you can't have it both ways.
To keep tax rates stable,get rid of the lying republicans in this town ...
GESTAPO TACTICS !!!!!!
Jay,
As a side note: The Township show never have a problem making payments to the school system regardless of when those payments are due.
Middletown uses a "scheme" known as defered taxes to offset local property taxes. The town collects 1/2 of the money due to schools at the old school tax rate for a given fiscal year, then collects the new school rate for the other part of the year, which is usually at a higher rate.
On average Middletown collects an extra $2-3M a year by using this system. The money should be put in escrow for the schools but is not. The township uses it to keep the local tax rate down. If that money was put aside as it should be, there wouldn't be a need to scramble to make a payment to the school system.
currently, on paper, the township owes the school system $56M. This fact is stated within the township budget. There is however, no plan in place to ever pay it back to the school system.
Well, taxpayers were told six months in advance about the new payment date.
They were also told in their final tax bill about the requirement for cash or equivalents for taxes paid after the tenth.
To the extent that a handful did not either get or heed this information is, indeed, regrettable, but I think it goes way too far to compare this situation to the German Gestapo, don't you?
There is a process between the posting of a tax lien and a sale. Everyone who wants to pay their taxes is given ample opportunity to do so.
The town has to act in a certain way in order to protect the rights of all taxpayers, and again, I suggest it is sensationalism to imply a callous disregard for taxpayers here when clearly the intent was to keep tax rates as low as possible...
Jay,
People can label these tactics anyway they see fit. I lable it as extortion.
Many of those that pay their taxes at Town Hall do so because they no longer have mortgages, many are elderly and are on fixed incomes. These people were use to paying their taxes after the 15th of the month.
To expect them to carry that kind of cash around with them just to pay their taxes is a bit much. They feel uncomfortable, vulnerable and uneasy carrying that kind of money around even if it is from the bank to Town Hall.
And again the point isn't about the town holding an accelerated tax sale - it is true the town is very hard up for money - the point is that people that have never been late with their payments were being strong armed because the payment of their taxes were just a few days late - Not months!
I also happen to believe that the town did not give proper notice to residents. Other than the letter that accompanied the tax bill, as you say, no other notices to my knowledge were attempted by the Township. That is inexcusable
Mike,
This guy named Jay seems to be an insider and it sounds like it is a TC person.
The tax bill for the final for 2010 and the preliminary for 2011 only contained the adulterated facts about the tax increase...nothing about cash payments or certified check for late payments.
THE LIARS CONTINUE TO LIE and it's about time for someone to contact the American Civil Liberties Union on behalf of the residents of this community. . This gang of integrity challenged characters that pass for administration needs to realize this country has a body of laws we are all,them included, expected to live by.
The arrogant behavior and ignorance of common decency reeks of ..........
"gestapo tactics".
Middletown has become a third world community under the current "regime". They have no reservation about treading on the people's rights.
Don't like to be viewed in this vein,change the tactics.This country is in a critical economic recession,job losses,unemployment at record levels,foreclosures on people's homes,bank failures,families trying to put food on the table and the jerks in town hall want to behave like "hungry mutts" over a FEW days late tax payments.
Just who do they really think they are anyway???
Mike, It's my understanding that any delinquent bill in the LAST QUARTER before the tax sale needs to be paid with certified funds only. This has been the policy for years; the only difference now is that the tax sale is in December, not April. The Township isn't saying you need to pay ALL delinquent bills all year with certified funds, only the ones in the last quarter. And you said people don't feel comfortable carrying cash down to Town Hall; nobody said they have to; certified funds can be paid with a cashiers check.
Anon 8:04,
yes I know that certified funds funds can be a cashiers check. If you had been following the whole string of comments between this post and the previous post you would have known the argument about the certified checks.
After having having to pay upwards of $60 in late fees and interest for being a few days delinquent paying your taxes an additional bank fee of $15 dollars foe the certified check was considered excessive by some older residents and a burden to pay.
Thanks for the comment.
Sounds to me like Middletown is having a serious cash flow problem. Mybe the fact that they are spending more than they are taking in is finally hitting home. What's next, Bankcruptcy
Mike,
Sorry I haven’t posted in a while. Thanks again for the dialogue.
You have mentioned a couple of times that the deferred payment of the school tax is a "scheme" designed to "rob" the school district. I don’t think you are looking at this in its totality.
What about tax appeals in the town … or uncollected taxes?? School taxes account for 60% of your overall tax bill … and the town pays the school every cent of that … regardless of what it collects! When a tax appeal is given, or someone does not pay their taxes, the burden to absorb that loss falls completely on the township. The school doesn’t give back a scent when $ has to be given back as a result of a tax appeal, nor does it have to pay the expenses / atty fees that result. Also, if someone doesn’t pay their taxes for a given property, the school still collects that tax money on that property anyway … and the town has to absorb that loss.
The schools are in no way a victim of ANYTHING in this town regarding tax dollars.
aNON
aNON,
First off you must understand that the school system does not collect any taxes themselves, the town collects all taxes, hence, no way to directly reimbursement the township any tax revenues.
Asking the schools to pay back tax money when they don't have it makes no.sense and is only a diversion from the real issue. You see by using "deferred" taxes the town collects more school money than needed and uses to offset the municipal tax rate. The township would have the money to pay tax appeals on the behalf of the school system if the placed that money in escrow like it should be done.
If the town is going to use school money to balance its budget, than it needs to also pay the schools portion of the tax appeals.
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