Fiscal Note
This resolution authorizes the payment of a tax refund and associated interest and other costs as required by state law due to a ruling against the City related to the tax status of a property owned by The Association of Women in Agriculture. The tax refund will be paid by the City and recovered from the taxing jurisdictions. The City portion of the tax refund will reduce 2015 general fund revenues by $7,768.14. Interest and other costs of $7,151.13 will paid entirely by the City through an appropriation from the 2016 Contingent Reserve.
Title
A resolution approving payment of a judgment, including costs and interest, in the matter of Association of Women in Agriculture v. City of Madison, and appropriating $7,151.13 from the contingent reserve fund for that purpose.
Body
WHEREAS, the Association of Women in Agriculture (AWA) pursued a claim for unlawful taxation for the 2014 tax year, arguing that they should be granted a student housing facility tax exemption under Section 70.11(3m), Wisconsin Statutes (the “Pres House exemption); and,
WHEREAS, the Dane County Circuit Court recently ruled against the City in this tax exemption case, and found that AWA was entitled to a refund of $19,957.51 for 2014 property taxes; and
WHEREAS, the City was ordered to pay back the 2014 property taxes, plus statutory interest, as well as statutory costs; and
WHEREAS, the total amount due the AWA as of February 11, 2016, will be $27,108.64, as follows:
Tax refund: $19,957.51
Costs: 5,161.38
Interest: 1,989.75 ($5.25 per day from 1/28/2015).
The tax refund is apportioned as follows:
City of Madison: $7,768.74
Madison Schools: 8,748.45
Dane County: 2,494.61
MATC: 800.26
State of Wisconsin: 145.45
The entire refund will be paid by the City and recovered from the taxing jurisdictions once the refund has been certified by the Department of Revenue.
NOW, THEREFORE, BE IT RESOLVED, that the City officials are directed to pay the refunds, costs and interes...
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