During a recent government meeting, Mike Darlow from Purdue Brandon presented a detailed report on ad valorem tax collections, highlighting the importance of effective tax collection strategies for the district's financial health. Darlow emphasized that while the amounts collected may not seem substantial on their own, they collectively contribute significantly to the district's revenue.
As of August, the district is owed approximately $2.5 million in base taxes, covering all years up to and including 2023. Darlow noted that a significant portion of this amount is tied up in litigation with the appraisal district, which complicates collection efforts. He explained that new accounts turned over in July 2023 represent a large share of the delinquent taxes, with one commercial property alone owing nearly $100,000.
Darlow also discussed the proactive measures taken to collect outstanding taxes, including a recent mailing of over 10,000 notices to property owners with delinquent accounts. He highlighted that 17% of the delinquent tax roll is currently involved in litigation, which restricts immediate collection actions. However, he reassured the district that when necessary, legal action is pursued to encourage property owners to settle their debts.
The presentation included a breakdown of delinquent taxes, revealing that over 58% of the owed taxes are from 2023, indicating that newer delinquencies are generally easier to collect. Darlow reported a collection rate of over 71% for the previous year, with a goal of maintaining at least a 70% collection rate for new delinquencies.
Overall, the meeting underscored the ongoing efforts to manage and collect taxes effectively, ensuring that the district can maintain its financial stability and continue to serve its community.