After state action, Camden redoes "amnesty" provision for late tax payment penalties

Camden City Council was forced into a do-over Tuesday after the state Department of Community Affairs vetoed its property tax-interest "amnesty."

The state rejected the word, and the sweeping reprieve it suggested, because it thought it could be misunderstood, said the city finance director, Glynn Jones.

"Amnesty depicts you don't have to pay taxes at all," Jones said.

A Sept. 13 resolution passed by Council would have temporarily waived the usual 18 percent interest on those having trouble paying taxes this year following a reassessment and separate tax increases.

The resolution, one of three measures passed that day to ease the burden of the higher tax bills, came in response to weeks of protests by some homeowners.

Nudged by the state, Council went back to the drawing board Tuesday, passing a replacement measure that will waive the interest only for homeowners who can prove a hardship in falling behind on taxes, and reduce the interest rate for others.

The citywide reassessment, the first in 18 years, was completed this year, shortly before Camden residents were hit with separate increases in the municipal and Camden County tax levies, the city by 9.8 percent and the county by 21 percent.

The effect of the reassessment varied, with taxes remaining unchanged for many and going down for some.

Residents in Cramer Hill and North Camden in particular saw their valuations and tax bills go up the most.

A group of Cramer Hill residents, including activists Mary Cortes and Eulisis Delgado, have held a weekly protest outside City Hall demanding a fresh revaluation.

This year's reassessment boosted some property valuations nearly 10 times. Tyler Technologies Inc., a Texas company with offices in Pennsauken, conducted the $3.2 million project between 2008 and the start of this year.

The new resolution, if approved by the state, would allow a zero interest rate on property taxes unpaid between Oct. 1 and April 29 only for people who can "prove a hardship," such as the recent loss of a job, and for seniors on fixed incomes, Jones said.

Others will have to pay a 4 percent interest rate, instead of the usual 18 percent, on delinquent property taxes through April 29. The interest rate then will revert to 18 percent.

Two other resolutions that Council adopted Sept. 13 passed muster with the state.

One reinstates installment-payment plans for those who have fallen behind on tax-lien payments since July 1, when the city took over lien administration. Property owners will have until Oct. 14 to become up to date in their lien payments in order for the city tax collector to reinstate the installment payments.

The other resolution, also accepted by the state, encourages residents to make appointments with the assessor to discuss the reassessment. However, property owners cannot formally appeal an assessment until January, and then must be up to date on their property taxes to have a successful appeal.

"I'm for it for right now," Delgado said of the resolutions, repeating that what he really wanted to see was a new reassessment that reflects lower home valuations. "I'm using my life savings to pay these taxes."