June 5, 2008 — Property taxpayers across the territory with homestead exemptions or unimproved property will have a choice when it comes to paying their 2006 property tax bills. They can pay what they paid on their 2005 tax bills or they can pay the amount listed on the 2006 bills that's based on the recent U.S. District Court-ordered revaluation.
"Choose the bill that's most economical for you," Myrtle Barry, who heads the St. John Unity Day Group's Property Tax Committee, told about 50 people Thursday who gathered at the Legislature building to hear the latest on the property tax issue.
Barry said the organization's attorney, Jim Derr, advised the group that an interim agreement between the government, U.S. District Court and the attorneys mandated this choice in order to raise revenue for the local government while not forcing residents, particularly on St. John, out of their homes because they can't pay the property tax bills.
The Unity Day Group filed suit April 2 in District Court asking that the government start over with its property revaluation and not collect taxes until the matter is solved. Barry said that case is still pending.
"We in St. John cannot afford to pay the new amount," Barry said.
The government has been waiting for a court-ordered revaluation of residential properties to be completed before issuing bills. When they will be issued remains unknown.
Taxpayers will not have to pay penalties at a later date if they opt to pay the same amount they did in 2005.
"You get the bill stamped 'paid' and that's it," committee member Lorelei Monsanto said.
Derr is the St. Croix-based attorney who worked on the District Court suit brought by commercial property owners, referred to as the Berne case, that resulted in the revaluation. That case is nearing its end with the special master expected to present his report to District Court June 13.
The choice applies to this year only.
However, Barry said those who pay the same amount they did in 2005 will not be able to appeal their 2006 bills until next year.
While Barry stressed that it was up to the taxpayer to decide which bill to pay, she said she hoped that those with bills that were lower in 2005 would pay that amount to show solidarity.
Barry said that many property tax payers on St. Thomas and St. Croix will probably opt to pay the new bill because their bills went down thanks to the revaluation. However, St. John is another story. Property taxpayers expect bills anywhere from four to 10 times higher than the previous one.
Barry and Monsanto also urged residents to call in to radio personality Stephanie Scott Williams' show on Radio One because representatives from the Tax Assessor's Office will be on hand. The show comes on at 8 a.m. Friday. The number to call is 774-8255.
"If they don't hear from you, they'll think you're pleased," Barry said.
Additionally, Barry said the Tax Assessor's Office recently sent out delinquency notices. She said that many went to people who long ago paid those taxes because of a problem with the Tax Assessor's record keeping system.
Unless they kept their tax receipts, Barry said that property owners with mortgages would have to track this information down though their lending institutions because the tax bills are paid from an escrow account.
"The bank has a habit of not giving you your property tax bill," Barry said.
Barry also noted that the Tax Assessor's office doesn't have current addresses for everyone because on St. John, the U.S. Postal Service changed them in some locations.
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