SUSSEX CO., Del. - Neighbors hit with a significantly higher tax bill this year following Sussex County’s first reassessment in decades could have the financial sting softened with the adoption of a new repayment plan.
In a special session on August 12, the Delaware legislature passed seven bills to help ease the property tax increases some Delawareans were facing after court-ordered reassessments in all three First State counties. Though many of the bills were specific to New Castle County, one of them, HB241, was geared toward granting relief to all Delawareans by mandating that each county implement a new payment plan for those who saw the biggest tax hikes.
HB241 allows repayment plans for any taxpayers who saw their primary residential property taxes not paid by a mortgage increase by $300 or more. The outstanding tax balance would accrue no interest during the payment plan period, according to the legislation.
On Tuesday, August 19, Sussex County Council Finance Director Gina Jennings presented to the council who HB241 would impact in Sussex and her suggestions as to how best to implement it.
According to Jennings, 24% of Sussex County properties saw negative impacts following the reassessment. In total, 9,548 primary residential properties met the criteria of tax increases over $300 for payment plan eligibility in Sussex County, with the majority of them in the Indian River and Cape Henlopen School Districts.
Jennings recommended to the County Council that applications for a payment plan be included on the Sussex County reassessment website. Those looking to utilize the plan would have until September 30 to submit an application, according to Jennings’ recommendation.
Jennings’ proposed payment plan would split the new reassessed tax totals into three equal payments. The first installment would be due on September 30, the second on November 15, and the final payment on December 31.
Following her presentation, Jennings introduced a motion for Sussex County to implement the new payment plan. That motion passed and the County Council adopted the new payment plan unanimously.