Assembly considers rewrite of borough tax code; amendment would let seniors stack $25,000 exemption

The Assembly considered Ordinance 2025-21, brought by the mayor and cosponsored by an assembly member, to repeal and reenact KPB Chapter 5.12 (real property tax), enact KPB Chapter 5.11 (personal property tax), KPB Chapter 5.13 (tax exemptions, credits, and deferrals), and KPB Chapter 5.15 (tax appeals).

Chair Cox said staff Adena and Sean were available for questions and that two amendments were attached. Adena told the committee the administrative amendment cleaned up typographical items and restored a standing exemption for power plants that mirrored language adopted May 5, 2012.

Vice President Cooper introduced an amendment, co-sponsored by the mayor, concerning senior exemptions. "This amendment was brought forth ... [to] remove that $350,000 maximum so they could take advantage of that additional $25,000 exemption," Cooper said. Committee members asked whether removing the cap or "stacking" exemptions would alter tax rates; the mayor and sponsors said the ordinance itself was intended as a reorganization and not a tax-rate change. The mayor said discussions about broader caps and stacking should occur in budget work later: "I would expect we would need to have that discussion when we start working on the budget," he said.

Assemblymember Basden asked a clarifying question about whether seniors would receive the additional $25,000 without Cooper's amendment. Staff clarified that without the amendment "they would not receive it." Members noted the rewrite began about two years ago and that assessing wanted clarity; several speakers emphasized keeping reorganization and substantive tax changes in separate processes so taxpayers would not be alarmed.

No final vote on the ordinance or its amendments was recorded in the committee transcript. The discussion closed with sponsors and staff agreeing to further budget-stage work to address stacking and caps if the Assembly wants a separate policy action.