Kent County to withhold owner-occupied properties owing under $1,000 after state tax-sale change

Kent County commissioners voted to adopt staff-recommended criteria to comply with House Bill 59, which raises protections for certain properties from county tax sales.

Ashley Alvia, the county property tax officer, told the board that “House Bill 59 changed some of the requirements for properties that could be withheld from tax sale,” and that the statute now requires the county to withhold owner‑occupied principal residences owing under $1,000 and to maintain a registry of withheld properties. Pat Merritt, the county’s chief financial officer, said staff provided optional thresholds for non‑owner‑occupied residential and nonresidential properties and warned the change could reduce the county’s ability to recover unpaid town utility bills that are collected via tax sale.

Commissioners debated operational concerns — including the difficulty of reliably identifying owner‑occupied properties from state data feeds — and whether to adopt additional local exceptions. Staff noted the statute permits counties to design an application process for exemptions tied to low income, age (over 65) or disability, but recommended deferring any such local program until after the county completes the upcoming tax sale and studies implementation logistics.

A commissioner moved to approve the recommended criteria as presented; the motion was seconded and passed by voice vote. County staff will proceed to withhold owner‑occupied properties owing under $1,000 in accordance with the new state requirement and return with options for local exemptions at a later date if commissioners request them.

The action followed a presentation of the statute’s operational effects and a request by staff that the commission decide the local thresholds for withholding non‑owner‑occupied and commercial properties before the county’s May tax sale.