Sarpy County board approves most tax exemptions, tables Mills property for one week

The Sarpy County Board of Equalization on March 18 approved a series of tax-exemption and correction items but voted to table one disputed exemption tied to the Mills Eternal Family Trust.

At a public hearing, County Assessor Dan Pittman recommended approval of 19 Form 4451 applications submitted by qualifying organizations; the board approved that recommendation unanimously. The board also approved assessor-recommended denials for multiple applications the assessor said were not used for charitable purposes. Commissioners voted to accept the assessor’s recommendations on all the denials except the Mills property and then voted 3-2 to table the Mills matter for one week to allow the taxpayer to provide documentation.

Why it matters: property tax exemptions affect county tax rolls and can be appealed to the state. Several speakers and board members discussed whether properties were being used primarily for charitable purposes or for private residence, and whether ownership structures met exemption standards.

The board first handled a motor-vehicle-exemption application for the Mills Eternal Family Trust, Inc., covering a 2022 Mini Cooper wagon. Jeff Meisel, Sarpy County treasurer, told commissioners the application had been submitted incompletely and asked the taxpayer to refile; the board then approved the treasurer’s recommendation to deny the application until a proper submission was received (motion by Commissioner Burmeister; second by Commissioner Warren; vote: 5-0).

During the property exemption docket, Pittman explained that Form 4451 is the long form used for first-time filers or applicants with ownership or name changes. "The 4451 is a long form and it's submitted by people that are filing for the first time," Pittman said, adding that some filers choose the longer document even when an affidavit would suffice.

At the hearing on several partial approvals, the board voted to approve a partial exemption for Bishop and Trustees parcel 11216840 as 93% exempt and 7% taxable, and approved Harry Bouchard American Legion Post 32 parcel 1064456 as 75% exempt and 25% taxable. Both measures passed with unanimous votes.

Several other applications were denied on the assessor’s recommendation. For example, the board accepted the assessor’s recommendation of denial for properties listed as not used for charitable purposes. In one contested case, William Mills, who identified himself as living at 608 Ruby Road, Nebraska, asked for more time and said he had not received notice that his property was on the docket. "This property has previously been approved as exemption for the last couple of years," Mills said. "To be honest we didn't receive notice of this and so I don't know why things would have changed. My guess is I've done something stupid again. I'd appreciate the opportunity to correct the form if that was the problem."

Assessor Pittman told the board the assessor’s office previously flagged the Mills property as a commingled use — where the dominant use is a single-family residence — and that the state Department of Revenue had questioned the prior local approval. "The grounds for disapproval would be it's a commingled use which is not permitted and the dominant use, the primary use is for single-family residence," Pittman said. He described previous contacts with the Department of Revenue and the possibility of a state-level review (TURK) if the county approved the exemption again.

After discussion about notice and documentation, the board voted 3-2 to table the Mills Eternal Family Trust exemption for one week and asked the taxpayer to provide corporate paperwork and IRS documentation before the next meeting. County staff asked the Mills family to provide a copy of the charity’s corporate papers and IRS 501(c)(3) form.

Votes at a glance - Motor-vehicle exemption (Mills Eternal Family Trust, 2022 Mini Cooper): Treasurer recommended denial pending resubmission. Motion by Commissioner Burmeister; second by Commissioner Warren. Vote: 5-0, motion carried. - Form 4451 approvals (19 applications): Motion to accept assessor's recommendation for approval. Vote: 5-0, motion carried. - Partial approvals: Bishop and Trustees (parcel 11216840) — 93% exempt / 7% taxable; Harry Bouchard American Legion Post 32 (parcel 1064456) — 75% exempt / 25% taxable. Motions carried, 5-0. - Denials: Multiple properties recommended for denial as not used for charitable purposes; board accepted denials on all discussed properties except Mills. Motion carried, 5-0 for the grouped denials. - Mills Eternal Family Trust, parcel 1157720: Motion to table one week to allow submission of documents. Motion by Commissioner Burmeister; second by Commissioner Mixon. Vote: 3-2, motion carried (tabling).

Discussion vs. decision: the minutes show a mixture of formal action (approvals/denials and the tabled motion) and discussion during public comment. The board distinguished assessor recommendations (formal actions) from taxpayer statements and staff clarifications. Several commissioners pressed assessor staff for clarification about notice procedures and whether staff had contacted taxpayers before docketing incomplete applications.

The board closed the Board of Equalization agenda and moved to the commissioners' agenda after completing the hearings.