HomeMy WebLinkAboutResolutions - 1973.03.01 - 10407March 1, 1973
March 1, 1973
RESOLUTION NO 6236
RE: ESTABLISHMENT OF DELINQUENT
TAX REVOLVING FUND
HY: FINANCE COMNITTEE - Mr. Houghton
TO THE OAKLAND COUNTY BOARD OF COMMISSIONERS
MR. CHAIRMAN, LADIES AND GENTLEMEN:
WHEREAS, this Board of COmmissioners is authorized
to create an Oakland County Delinquent Tax Revolving Fund,
pursuant to Section 87b of Act NO. 206 of the Public Acts
of 1893, as amended; and
WHEREAS, the purpose of this Fund is to allow the County
Treasurer to pay from the Fund any or all delinquent taxes which are
due and payable to any school district, intermediate school district,
community college district, city, township, special assessment or
drain district or other political unit Or county agency for which
delinquent tax payments are due on settlement day with the county,
city or township treasurer and he has heretofore been directed to do
so by this Board of Commissioners; and
WHEREAS it is hereby determined that it is necessary that
this County create the Oakland County Delinquent Tax Revolving Fund;
• and
NOW, THEREFORE, BE IT RESOLVE p BY THE BOARD OF COMMISSIONERS
OF OAKLAND COUNTY, as follows:
l. There is hereby created the "Oakland County Delinquent
Revolving Tax Fund" which fund shall consist of separate segregated
funds (unless otherwise ordered by specific Resolution of this Board
of Commissioners) for delinquent taxes due on account of specific tax
years and into which funds all such delinquent taxes, except taxes on
personal property due and payable to a taxing unit which receives its
delinquent taxes from the fund are due and payable to Oakland County.
2. As soon as the segregated fund for any tax year is suf-
ficiently funded, the County Treasurer shall, to the extent permitted
by available funds make payment of any Or all delinquent taxes for
such year to any school district, intermediate school district,
community college district, city, township, special assessment district
or any other political unit for which delinquent tax payments are due
on settlement day with the City or Township treasurers, provided the
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recipient has first duly agreed to be bound elie terms of a
"Delinquent Tax Pre-Payment Agreoment",:the form of which is attached
hereto as "Exhibit A" which Agreement is hweeby approved for execution
on behalf of Oakland County by the County 72reasuref,
3. The County Treasurer shall make such payments directly
to single school districts when such a tingle sehooZ district exists
within a political unit.
4. The interest charges and Collection rates established
under Act 206 of the Public Acts of 1893, as amended for delinquent
taxes shall, once such fund has been established be payable to the
county and credited to the Oakland County Delinquent Tax Revolving
Fund for the year in which such delinquent tax was due.
5. The funds on deposit in the Oakland County Delinquent
Tax Revolving Fund shall be deposited in such Bank account or accounts
or invested in such investments as the County Treasurer is authorized
by law to 'wake for general funds of the County provided that the
segregeeted funds for the respective years shall be accounted for
separately and shall be designated as fellows:
Tax Year Date Became Delinquent Fund No
1971 and March 1, 1972 and March 4000
all prior years 1 of all prior years
1972 March 1, 1973 46190
Separate funds for future tax years shall be numbered from 46191
upwards.
6. Any surplus in the Oakland County Delinquent Tax
Revolving Fund including any collection fees which are not
pledged for repayment of borrowings shall be transferred to
the County General Fund as directed by the Board of Commissieners.
7. Wherever payments are made pursuant to paragraph
2 hereof such payments shall be made as follows:
Where sufficient funds exist, 100% of the
delinquent taxes for the tax year for which such
funds are available
(b) Where sufficient funds do not exist for
payment of 100% of the delinquent taxes for
such tax year, payments shall be made on an
equal basis to all political units of each unit's
pro-rata share of such delinquent taxes
(c) No political unit shall receive any pay-
ments from the Oakland County Delinquent Tax
Revolving Fund unless it has duly authorized,
executed, delivered and is fully complying with
a Delinquent Tax Pre-FayMent Agreement in the
form attached hereto as Exhibit A.
The Finance Committee, by Mr. Fred D. Houghten,
Chairman, move3the adoption of the foregoing resolution.
EXHIBIT A
DELINQUENT TAX
PRE-PAYMENT AGREEMENT
THIS AGREEMENT, made and entered into on the day of
, 1973, between the County of Oakland, State of Michigan
(hereinafter called the "County") and
, Oakland County, Michigan (hereinafter
called the "Municipality")
WITNESSETH:
WHEREAS, on March 1, 1973, the Board of Commissioners of
Oakland County adopted a resolution establishing an "Oakland County
Delinquent Tax Revolving Fund", pursuant to Section 87b of Act No. 206
of the Public Acts of 1893, as amended; and
WHEREAS, the purpose of this Fund is to allow the County
Treasurer to pay from the Fund any or all delinquent taxes which are
due and payable to any school district,:intermediate school district,
community college district, city, township, special assessment or
drain district or other political unit or county agency for which
delinquent tax payments are due on settlement day with the county,
city or township treasurer; and
WHEREAS, the Municipality wishes to receive its 1972
Delinquent Taxes (which became delinquent on March 1, 1973) immediately
without awaiting the collection thereof by the County; and
WHEREAS, the County and the Municipality both recognize
that 100% of the Municipality's 1972 Delinquent Taxes may not
ultimately be received by the County; and
WHEREAS, it is impossible for the County and the Municipality
to presently estimate the amount which the County will not be able to
collect from the Municipality's 1972 Delinquent Taxes.
NOW THEREFORE, in consideration of the County's agreement
to immediately pay to the Municipality an amount equal to all of the
Municipality's 1972 Delinquent Taxes it is agreed as follows
1. The Municipality hereby authorizes the county to with-
hold from future years' delinquent taxes to be collected for the
Municipality an amount equal to the Municipality's 1972 Delinquent
Taxes which the County has determined are not collectable either
because of a reduction in assessment by the State Tax Commission or
for any other reason, together with interest on such amount from
March 1, 1973 at the rate of 1/2% per Month until such withholding
occurs. The withholding shall occur on the March let following the
date of such determination by the County.
2. The Municipality agrees that in the event the County in the
future pays to the Municipality the amount of any other delinquent
taxes of the Municipality for any other years the County shall also be
entitled to withhold from future years' delinquent taxes to be collected
for the Municipality an amount equal to the Municipality's delinquent
taxes for the year for which the County made pre-payment which the
County has determined are not collectable either because of a reduction
in assessment by the State Tax Commission or for any other reason
together with interest on such amount from the March 1st on which
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the delinquent tax prepaid became delinquent at the rate of 1/2% per
month until such withholding occurs. The withholding shall occur on
the March 1st following the date of such determination by the County.
3. Whenever the County makes a determination that some of
the aforesaid delinquent taxes are uncollectable, it shall forward a
copy of such determination to the Municipality.
4. Pursuant to Act 206 of the Public Acts of 1893, as amended,
the County shall be entitled to all interest collection charges and
penalties due on and after the March 1st delinquency date for the
Municipality's Delinquent Taxes in any year (including the 1972
Delinquent Taxes) for which year the County has prepaid or does prepay
such taxes to the Municipality pursuant to said Act and this Agreement.
. This Agreement shall remain in full force and effect
until cancelled by mutual agreement of both parties.
COUNTY OF OAKLAND
ByH
County Treasurer
Mame of Municipality)
By
It s
Moved by Ighten supported by Vogt the rt Iution be adopted.
Discussion followed.
Ayes: Nowak, Olson, Patnales, Perinoff, Pernick, Quinn, Richardson, Vogt, Walker,
Wilcox, Berman, Brotherton, Burley, Button, Coy, Dearborn, Douglas, Dunleavy,
Gabler, Hobart, Hoot, Houghten, Kasper, Lennon, Mathews, Moffitt, Montante. (27)
Nays: None. (0)
Absent: None. (0)
A sufficient majority having voted therefor, the resolution was adopted.
STATE OF MICHIGAN )
) ss.
COUNTY OF OAKLAND )
I, the undersigned, the duly qualified and acting Clerk of
the Board of Commissioners of the County of Oakland, Michigan, do
hereby certify that the foregoing is a true and complete copy of
proceedings taken at a special meeting of the Board of Commissioners
of said County held on the 1st day of March, 1973, insofar as the
same relate to the establishment of the Oakland County Delinquent
Tax Revolving Fund, the original of which is on file in my office.
IN WITNESS WHEREOF, I have hereunto affixed my official
signature this 1st day of March, A.D 1973.
Lynn D. A l ien, Ere-±1.--of oalTaTia—county