HomeMy Public PortalAbout2001_07_24_O12The Town of
Leesburg,
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ORDINANCE NO.
AN ORDINANCE:
2001-0-12
PRESENTED
ADOPTED
July 24, 2001
July 24, 2001
AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE III,
SECTION 19-47.1; OF THE TOWN CODE OF THE TOWN OF
LEESBURG. EXEMPTIONS FROM REAL AND PERSONAL
PROPERTY TAXES FOR ELDERLY AND HANDICAPPED
WHEREAS, the 1950 Code of Virginia, as amended, was amended by the General
Assembly for tax year 2001 to allow for increased limits for total combined income and
maximum net combined financial worth for those individuals applying for exemption from real
estate and personal property taxes due to age or handicap status; and
WHEREAS, the Town of Leesburg was granted specific permission by the General
Assembly to implement these higher limits; and
WHEREAS, the Finance Director recommends implementing the higher limits,
implementing a th-annual application and annual certification process, and making other
changes to improve program administration.
THEREFORE, ORDAINED by the Council of the Town of Leesburg that Chapter 17,
Article I, and Chapter 19, Article Ill of the Town Code of the Town of Leesburg be amended as
follows:
SECTION I. Section 17-1.1. Tax relief for the elderly and totally and permanently
disabled. Amended to read as follows:
Definitions. As used herein:
Total combined income means gross income from all sources of the owners of the
dwelling residing therein and of any relatives of the owner who reside in the dwelling, provided
that the first $6,500.00 of income of each relative, other than the spouse of the owner or owners,
who is living in the dwelling shall not be included in such total.
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AN ORDINANCE: AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE III, SECTION 19-47.1;
OF THE TOWN CODE
Net combined financial worth means all assets less liabilities of the owners of the
dwelling and of the spouse of any owner who resides therein, including equitable interests,
excluding the value of the dwelling and the land in an amount not to exceed one acre upon
which it is situated.
Affidavit means the real estate tax exemption ~ affidavit.
Town means Town of Leesburg, Virginia.
Town council means the town council of the Town of Leesburg.
Director offinance means the director of finance of the town or any of his duly
authorized agents.
Dwelling means the sole full-time residence owned and occupied of b_.y the person or
persons claiming exemption ~ and includes a Manufactured Home used as the sole
full-time residence owned and occupied by the persons claiming an exemption hereunder; and
the land on which it is situated, not to exceed one acre.
Exemption means exemption from the town real estate tax according to the provisions of
this chapter.
Head of household means the primary earner of income, between the husband and wife,
who either jointly or solely owns the dwelling and qualifying land on which tax relief is sought.
Manufactured Home means a structure subject to federal regulation which is
transportable in one or more sections; is eight body feet or more in width and forty body feet or
more in length in the traveling mode or is 320 or more square feet when erected on site; is built
on a permanent site; is designed to be used as a single-family dwelling with or without a
permanent foundation when connected to the required utilities and includes the plumbing,
heating, air-conditioning, and electric systems contained in the structure.
Person means a natural person.
Permanently and totally disabled means a person who has been certified by the Veterans
Administration, or the Railroad Retirement Board, or if such person is not eligible for
-3-
AN ORDINANCE: AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE Ill, SECTION 19-47.1;
OF THE TOWN CODE
certification by any of these agencies, a sworn affidavit by two medical doctors licensed to
practice medicine in the commonwealth, one of whom practices medicine in Leesburg, to the
effect that such person is permanently and totally disabled. The affidavit of at least one of such
doctors shall be based upon a physical examination of such person. The affidavit of one of such
doctors may be based upon medical information contained in the records of the civil service
commission which is relevant to the standards for determining permanent and total disability.
For purposes of this section, the term "permanently and totally disabled" shall mean unable to
engage in any substantial gainful activity by reason of any medically determinable physical or
mental impairment or deformity which can be expected to result in death or can be expected to
last for the duration of such person's life.
Property means real property.
Taxable year means the calendar year, from January 1st until December 31st for which
exemption ~ is claimed.
Section 17-1.2. Exemption et a..efe:':'al authorized; effective date.
(a)
Real estate tax exemption ov-degm~ is provided for qualified property owners
who are not less than 65 years of age or who are permanently and totally disabled
and who are eligible according to the provisions of this chapter. Persons qualifying
for exemption ~ are deemed to be bearing an extraordinary real estate tax
burden in relation to their income and financial worth.
(b) The effective date of this chapter shall be January 1, 1985.
Section 17-1.3. Administration of exemption er a-.eferra!.
The exemption ~ shall be administered by the director of finance according to
the provisions of this chapter. The director is hereby authorized to make an inquiry of persons
seeking such exemption or-deleing, in conformity with the provisions of this chapter, including
the requiring of answers under oath, as may be reasonably necessary to determine qualifications
for exemption ~ as specified by this chapter. The director may require the production of
certified income tax returns and appraisal reports in establish income and/or financial worth.
Section 17-1.4. Requirements for exemption er deferral.
An exemption ~ shall be granted subject to the following provisions:
.... (1) The title of the dwelling for which an exemption ~ is claimed is held,
-4-
AN ORDINANCE: AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE Ill, SECTION 19-47.1;
OF THE TOWN CODE
or partially held, on January 1st of the taxable year by the person or persons
claiming the exemption ~.
(2) The person or persons occupying the dwelling and owning title, or partial
title, thereto is not less than 65 years of age on December 31st of the year
immediately preceding the taxable year, or the person or persons occupying
such dwelling are considered to be permanently and totally disabled
as defined in section 17-1.1.
(3)
A dwelling jointly held by a husband and wife may qualify if either spouse is
over 65 years of age or is permanently and totally disabled. Such exemption o~
~ program shall be subject to the following restrictions and conditions:
The total combined income received from all sources during the
preceding calendar year by (i) owners of the dwelling who use it as their
principal residence and (ii) owners' relatives who live in the dwelling, shall
not exceed~.....,~vv.....¢~ nnn an $62,000.00 , or the income limits based upon family
size for the respective metropolitan statistical area, annually published by the
Department of Housing and Urban Development for qualifying for federal
housing assistance pursuant to Section 235 of the National Housing Act
(12 U.S.C., Section 1715z). Any amount up to $6,500.00 of income of
each relative who is not the spouse, of an owner living in the dwelling and
who does not qualify for the exemption provided by (3)b hereof may be
excluded from the total combined income calculation. Also excluded from
total combined income is all of the income received by an owner for
permanent disability for the preceding year up to a maximum amount of
$7,500.00.
If a person qualifies for an exemption ~ under this article,
and if the person can prove by clear and convincing evidence that the
person's physical or mental health has deteriorated to the point that the
only alternative to permanently residing in a hospital, nursing home,
convalescent home or other facility for physical or mental care is to have a
relative move in and provide care for the person, and if a relative does then
move in for that purpose, then none of the income of the relative or of the
relative's spouse shall be counted towards the income limit, provided the
-5-
AN ORDINANCE: AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE m, SECTION 19-47.1;
OF THE TOWN CODE
owner of the residence has not transferred assets in excess of $5,000.00
without adequate consideration within a three-year period prior to or after
the relative moves into such residence.
The net combined financial worth, including the present value of all
equitable interests, as of December 31 of the immediately preceding
calendar year, of the owners, and of the spouse of any owner, excluding
the value of the dwelling and the land, not exceeding one acre, upon which
it is situated shall not exceed,~./.~,,.v,,.,,,,'~n~ nr~r~ t~r~ $240,000.00.
Section 17-1.5. Claiming an exemption er ~cfcrral. Amended as follows:
(a)
(a)
A tri-annual application and annual certification process is hereby established. The
person or persons claiming an exemption for the first time shall file a real estate tax
exemption affidavit with the director of finance, on forms supplied by the director~
on or before December 31 of the tax year for which relief is sought. Thereafter, a
new affidavit must be filed once every three years. Not later than April 1 of the
second and third years, the person or persons participating in the exemption program
must file with the director a real estate tax certification that eligibility requirements
continue to be met. The director shall have the discretion to permit applicants to file
after these deadlines in cases of genuine hardship.
(b)
The affidavit shall set forth, in a manner prescribed by the director, the names of
the related persons occupying the dwelling for which the exemption or-dof-~ is
claimed, their gross combined income and the total combined net worth of the
owners and spouses ~-ha ~m.~..:. ~.~...1~.. ~,~. .... ~.a,~. ...... · ,~a pert, on ,.'
(c)
If, after audit and investigation, the director determines that the person or persons
are qualified for an exemption ~, he shall so certify and shall deduct the
amount of the exemption ~ from the claimant's real estate tax liabilities.
-6-
AN ORDINANCE: AMENDING CHAPTER 17, ARTICLE I, SECTIONS 17-1.1, 17-1.2,
17-1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE ]]I, SECTION 19-47.1;
OF THE TOWN CODE
Section 17-1.7.
Amended as follows:
Proration.
If the qualifying property is sold, or if the last qualifying owner dies during the taxable
year, the exemption shall be prorated for that portion of the taxable year prior to the death of the
last qualifying owner.
Section 17-3.5. Claiming a reduction. Amended as follows:
(a)
(a)
A tri-annual application and annual certification process is hereby established. The
person or persons claiming a reduction for the first time shall file a personal property
tax reduction affidavit with the director of finance, on forms supplied by the director,
on or before December 31 of the tax year for which relief is sought. Thereafter, a
new affidavit must be filed once every three years. Not later than April 1 of the
second and third years, the person or persons participating in the redp_ction program
must file, with the director, a personal property tax certification that eligibility
requirements continue to be met. The director shall have the discretion to permit
applicants to file after these deadlines in cases of genuine hardship.
SECTION II. Section 19-47.1. Lower charge for certain elderly or totally and
permanently disabled homeowners. Amended as follows:
-7-
AN ORDINANCE: AMENDING CHAPTER 17, ARTICI.E I, SECTIONS 17-1.1, 17-1.2,
17,1.3, 17-1.4, 17-1.5, 17-1.7, 17-3.5 AND CHAPTER 19, ARTICLE lB, SECTION 19-47.1;
OF THE TOWN CODE
The charge for use of the water system to elderly or totally and permanently disabled
residents at their principal dwelling who annually qualify for full exemption of town real estate
taxes under section 17-1.1 of the Town Code (Tax Relief for the Elderly and Totally and
Permanently Disabled) shall be 75 percent of the established rate for premises inside the town.
SECTION lB. All prior ordinances in conflict herewith are repealed.
SECTION IV. This ordinance shall be effective upon passage.
PASSED this 24th day °f July' 2001' ~Q
B.J. Web~(, Mayor
Town of Leesburg
ATTEST:
Gferk of Council
O:taxrelief