(A) The Council may defer the payment of any special assessment on homestead property owned by a person who is 65 years of age or older, or who is retired by virtue of permanent and total disability, and the City Administrator-Treasurer is hereby authorized to record the deferment of special assessments where the following conditions are met:
(1) The applicant must apply for the deferment not later than 90 days after the assessment is adopted by the City Council;
(2) The applicant must be 65 years of age or older or retired by virtue of permanent and total disability;
(3) The applicant must be the owner of the property;
(4) The applicant must occupy the property as his principal place of residence; and
(5) The average annual payment for assessments levied against the subject property exceed 1% of the adjusted gross income of the applicant as evidenced by the applicant’s most recent federal income tax return. The average annual payment of an assessment shall be the total cost of the assessment divided by the number of years over which it is spread.
(B) The deferment shall be granted for as long a period of time as the hardship exists and the conditions aforementioned have been met. However, it shall be the duty of the applicant to notify the City Administrator-Treasurer of any change in his or her status that would affect eligibility for deferment.
(C) The entire amount of deferred special assessments shall be due within 60 days after loss of eligibility by the applicant. If the special assessment is not paid within the 60 days, the City Administrator-Treasurer shall add thereto interest at a per armum interest rate of 2% above the bond interest rate and the total amount of principal and interest shall be certified to the County Auditor for collection with taxes the following year. Should the applicant demonstrate to the satisfaction of the Council, that full repayment of the deferred special assessment would cause the applicant particular undue financial hardship, the Council may order that the applicant pay within 60 days a sum equal to the number of installments of deferred special assessments outstanding and unpaid to date, including principal and interest, with the balance thereafter paid according to the terms and conditions of the original special assessments.
(D) The option to defer the payment of special assessments shall terminate and all amounts accumulated plus applicable interest shall become due upon the occurrence of any one of the following:
(1) The death of the owner when there is no spouse who is eligible for deferment;
(2) The sale, transfer or subdivision of all or any part of the property;
(3) Loss of homestead status on the property; or
(4) Determination by the Council for any reason that inunediate or partial payment would impose no hardship.
(E) State law references(s): M.S. § 435.193, as it may be amended from time to time, senior citizens or retired and disabled persons hardship special assessment deferral.
(Res. 10-01-2020, passed 10-21-2020)