File #: ORD. 2024-276    Version: 1 Name:
Type: Ordinance Status: Adopted
File created: 10/16/2024 In control: City Council
On agenda: 10/28/2024 Final action: 11/12/2024
Title: To return surplus real estate tax revenues to taxpayers pursuant to Va. Code ? 15.2-2511.1.
Patrons: Mayor Stoney, President Kristen Nye, Vice President Ann-Frances Lambert, Katherine Jordan, Ellen Robertson, Stephanie Lynch, Reva Trammell, Cynthia Newbille, Nicole Jones
Attachments: 1. Ord. No. 2024-276, 2. 20241023 RVA Stay Gov OPS Committee, 3. 2025 Preliminary Land Book_Gov Ops Handout

title

To return surplus real estate tax revenues to taxpayers pursuant to Va. Code § 15.2-2511.1.

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WHEREAS, section 15.2-2511.1 of the Code of Virginia (1950), as amended, authorizes the Council of the City of Richmond to adopt an ordinance to develop a method for returning surplus real . . . property tax revenues . . . to taxpayers who are assessed such taxes in any fiscal year in which the [City] reports a surplus;” and

WHEREAS, the Council, by Ordinance No. 2024-275, adopted November 12, 2024, created the 2024 Real Estate Tax Relief Reserve composed of surplus revenues collected in the fiscal year commencing July 1, 2023, and ending June 30, 2024, in the amount of $16,000,000.00, and, by Ordinance No. 2024-277, adopted November 12, 2024, appropriated such funds for the purpose of making payments under this ordinance; and

WHEREAS, the Council desires to provide a method for returning surplus real property tax revenues to taxpayers who are assessed such taxes in 2024;

NOW, THEREFORE,

THE CITY OF RICHMOND HEREBY ORDAINS:

§ 1.                     That

(a)                     Definitions. For the purpose of this ordinance, these words, terms, and phrases, when used in this ordinance, have the meanings ascribed to them as follows:

(1)                     Eligible Property. “Eligible Property” means a parcel of real estate separately assessed for real estate taxes by the City on January 1, 2024, provided that the term “Eligible Property” does not include any parcel of real estate that is entirely exempt from real estate taxation or for which no tax bill would otherwise be issued.

(2)                     Eligible Taxpayer. “Eligible Taxpayer” means the person or persons listed as the owner of an Eligible Property in the 2024 records of the City Assessor as of January 1, 2024.

(b)                     Amount of Payment. For each Eligible Property, the Director of Finance shall pay the Eligible Taxpayer $0.04 for every $100.00 of the assessed value of the Eligible Property on January 1, 2025, after the application of any partial exemption pursuant to Chapter 26, Article V, Divisions 3, 4, 10, or 11 of the Code of the City of Richmond (2020), as amended.

(c)                     Method of Payment.

(1)                     Generally. Only one payment will be made for each Eligible Property, regardless of the number of persons who are listed as the Eligible Taxpayer for the Eligible Property. Payments under this ordinance will be made by check or credit, as described in this subsection (c).

(2)                     Payments by Check. Except as otherwise provided by this ordinance, the Director of Finance shall mail to each Eligible Taxpayer a bank check payable to the Eligible Taxpayer. The Director of Finance shall mail all checks no later than March 31, 2025.

(3)                     Payments of Less Than $30.00 as a Credit. If the payment due is less than $30.00, the Director of Finance may apply the payment as a credit on the next real estate tax bill for the Eligible Property in lieu of issuing a check. The Director of Finance shall apply the credits prior to the calculation and distribution of 2025 second-half real estate bills.

(4)                     Payments for Delinquent Accounts. For any Eligible Taxpayer for which real estate taxes are delinquent or penalties or interest are owed, the Director of Finance may apply the payment due under this ordinance against any such delinquent taxes, penalties, and interest and pay any remainder as a credit on the next real estate tax bill for the Eligible Property.

(5)                     Lost, Damaged, Void, or Otherwise Invalid Checks. For any check issued under this ordinance that is lost, damaged, void, or invalid for any reason, the Director of Finance may choose to either issue a replacement check to the Eligible Taxpayer or record a credit on the next real estate tax bill for the Eligible Property.

(6)                     Source of Payments. All payments under this ordinance will be made solely from fund balances resulting from surplus revenue appropriated for that purpose.

§ 2.                     This ordinance shall be in force and effect upon adoption and shall expire at the last moment of June 30, 2025.