09-10-07 Item 7A, Approve or Deny Little Bros Forgive of Penalties Interest and Fees for 2003 PMP Assessment

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Page 2 of2 DISCUSSION According to State Statute, the only body with authority to honor this request is the City Council. After researching this matter with the county and reviewing the records, staff has determined that there was no intent to "not" pay the assessment, only confusion as to process and amounts. Little Brothers - Friends of the Elderly at first stated that they never received a bill before the tax statement in 2004, but staff has the affidavits of mailing the assessment notices. Once they received the tax statement it appears that the intent was to pay the entire balance, but there was a miscommunication between them and the county as to the correct amount. (Once an assessment is certified to the county, the current year must be paid with the tax payments and the remaining balance can be prepaid at anytime. The first half payment was made and then the remaining balance was paid, but the second half payment was never made. Staff believes that this was where the miscommunication took place, the organization probably asked to pay the remaining balance due. The county would have taken the prepayment for the subsequent remaining balance but did not include the second half 2004 payment in the amount. The terminology would not have been used the same between the organization and the county, thus leaving a misunderstanding by the organization that the bill was paid-in-full.) The organization is not disputing the assessment, only asking for relief of the penalties, interest, and fees. Little Brothers - Friends of the Elderly did not realize they had a balance due until they received the letter dated August 2, 2007. In talking to Ramsey County, staff has determined that the organization would not have received any other correspondence once the tax went into delinquent status until August 2, 2007. RECOMMENDATION Staff has no recommendation, but asks that Council either approve or deny writing off the remaining penalties and interest on the account and authorizing staff to notifying Ramsey County ifthe decision is to forgive the remaining balance.