Dickinson County board abates delinquent taxes and interest for city-owned dormitory property

At its May 25 meeting, the Dickinson County board approved a motion to abate two years of delinquent property taxes and associated interest on a city-owned dormitory after county staff said the property qualifies for a nonprofit exemption but the exemption paperwork was filed late.

County staff member Chris described three parcels under review and told the board the dormitory had been taxed at full rate because the exemption paperwork had not been filed in time. John Pauly, representing the local historic property (as described in the meeting record), told the board the city asked that “we abate all of it,” including both interest and the underlying taxes, because the property qualifies for exemption going forward.

Board members questioned precedent and whether forgiving delinquent interest was appropriate. “I don’t like these. I’m going to tell you right up front. I hate them,” a board member said, noting concern about creating a recurring precedent. Other members urged leniency given the city’s stated restrictions on future use of the property and the administrative error that delayed filing.

Mr. Clark moved to abate the taxes and interest; the motion passed on a voice vote with all members present indicating approval. The board’s action will prevent the tax sale process from proceeding on that parcel and staff said the property will be exempt for future tax years because the exemption documents have now been submitted.

The board did not specify the total dollar amount of taxes being abated in the motion; staff said the matter originated after the county sent delinquent notices in November and that the missed filings affected the prior two years. The county also discussed possibly waiving only delinquent interest as an alternative but the board chose full abatement at this meeting.

The board moved on to other tax-cleanup requests after the vote.