Multiple stories in today's headlines about Mayor Street's latest idea to generate revenue - actually collecting unpaid taxes! (DN, Inky, PBJ)
From the Daily News:
Starting today the city will mail tax notices to 23,000 property owners and thousands of businesses in hopes of collecting on tax debt totaling $688 million - $394 million in delinquent property taxes and $294 million in delinquent business and other taxes.
Street said his tax and legal team believes that the city can corral about 34 percent of what's owed, some of the debt going back 25 years.
"It's more aggressive than anything we've ever done," Street said. "But then, necessity is the mother of invention."
Over the next five years, the Street administration projects, the school district would get $126.6 million from the delinquent-tax-collection program and the city would get $109 million.
Great idea but it begs the question: why has the city been so lax, up to now, in collecting the money that is properly owed to it? Also, what faith should we, the law abiding suckers who actually pay our taxes, have that the city will actually come through with this latest plan? I feel like giving some kudos to the city for doing this would be like congratulating someone because they started shoveling the snow from their sidewalk.
For those of you who fear that this could lead to a wholesale eviction of thousands of low-income home owners, don't worry. It seems that the city has anticipated this:
Street said the city will set aside $1.5 million, a "safety net fund," to fund loans and other support services for "people who are really, really desperate and need some help."
Services will include housing counseling, exchanging predatory loans for "fair interest rate" loans, and actual tax forgiveness, according to the city's consumer advocate, Lance Haver.