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Lincoln council approves write-off of uncollectible tangible and motor-vehicle taxes
Summary
The council adopted Resolution 2025-24 authorizing the write-off of tangible and motor vehicle tax accounts deemed uncollectible after collection efforts and statute-of-limitations considerations; staff said most accounts are business accounts and some vehicle accounts.
The Lincoln Town Council voted to adopt Resolution 2025-24 to write off certain tangible and motor-vehicle tax accounts that have been determined uncollectible. Staff explained these accounts are typically business accounts where the entity went out of business or moved without notice, and collection agencies or the town determined that the cost to pursue collection would exceed recoverable amounts.
Why the write-offs: A town attorney and finance staff explained that many of the accounts had been referred for collection in the past and that the statute of limitations or the low-dollar balance on many accounts made continued efforts counterproductive. "It's gone too long," a staff member said describing why some accounts were flagged as uncollectible; the council received a report listing the tangible and motor-vehicle totals for review.
Council questions focused on account types and safeguards. Members asked whether businesses that still operate could be on the list; staff said the list is primarily businesses that have ceased operations or moved and provided a separate motor-vehicle list. The action was described as an accounting clean-up so that town books do not carry receivables that are unlikely to be collected.
The resolution was moved, seconded and approved by voice vote.
