2006 Ohio Revised Code - [5713.08.1] 5713.081.Collection of delinquent taxes on publicly owned property.

[§ 5713.08.1] § 5713.081. Collection of delinquent taxes on publicly owned property.
 

(A)  No application for real property tax exemption and tax remission shall be filed with, or considered by, the tax commissioner in which tax remission is requested for more than three tax years, and the commissioner shall not remit more than three years' taxes, penalties, and interest. 

(B)  All taxes, penalties, and interest, that have been delinquent for more than three years, appearing on the general tax list and duplicate of real property which have been levied and assessed against parcels of real property owned by the state, any political subdivision, or any other entity whose ownership of real property would constitute public ownership, shall be collected by the county auditor of the county where the real property is located. Such auditor shall deduct from each distribution made by the auditor, the amount necessary to pay the tax delinquency from any revenues or funds to the credit of the state, any political subdivision, or any other entity whose ownership of real property would constitute public ownership thereof, passing under the auditor's control, or which come into the auditor's possession, and such deductions shall be made on a continuing basis until all delinquent taxes, penalties, and interest noted in this section have been paid. 

(C)  As used in division (B) of this section, "political subdivision" includes townships, municipalities, counties, school districts, boards of education, all state and municipal universities, park boards, and any other entity whose ownership of real property would constitute public ownership. 
 

HISTORY: 132 v S 351 (Eff 11-24-67); 136 v H 920 (Eff 10-11-76); 140 v H 260 (Eff 9-27-83); 144 v H 399. Eff 11-28-91; 150 v H 95, § 1, eff. 6-26-03.
 

See provisions of § 757.09 of 151 v H 530 following RC § 5715.27. 

The provisions of § 3 of H.B. 362 (150 v  - ) read as follows: 

SECTION 3. (A) This section is intended to mitigate the unintended consequences of Cleveland Clinic Foundation v. Wilkins, 103 Ohio St.3d 382, 816 N.E.2d 224 (2004), by providing remedial legislation to address the large volume of applications for exemption of property that the Tax Commissioner dismissed because of the decision in that case. 

(B) As used in this section: 

(1) "Eligible years" means those tax years for which taxes, penalties, and interest could have been properly remitted or abated and the property placed on the tax exempt list under a previous application for exemption of property that was dismissed as explained in division (A) of this section. 

(2) "Qualified property" means real property that satisfies the qualifications for tax exemption under any section of the Revised Code and for which an application for exemption of property was dismissed by the Tax Commissioner as explained in division (A) of this section. 

(3) "Subdivision," "taxing authority," and "taxing unit" have the same meanings as in section 5705.01 of the Revised Code. 

(C) Notwithstanding section 5713.081 of the Revised Code, when qualified property has not received a tax exemption, remission, or abatement because of failure to comply with Chapter 5713. or section 5715.27 of the Revised Code, the current owner of the qualified property at any time on or before July 1, 2005, may file with the Tax Commissioner an application requesting that the property be placed on the tax exempt list and that all paid or unpaid taxes, penalties, and interest on the property be abated or remitted for the eligible years. The application shall be filed on the form prescribed by the Commissioner under section 5715.27 of the Revised Code. The owner shall attach to the application a copy of the Commissioner's final determination dismissing the previous application for exemption of the qualified property, along with the county treasurer's certificate required by division (E) of this section. Failure to attach the Commissioner's final determination dismissing the previous application for exemption of the qualified property and the treasurer's certificate shall result in dismissal of the application filed under this division. 

(D) The county auditor shall notify the county treasurer to hold any tax payments for eligible years in a special fund pending a decision by the Commissioner on an application filed under this section. While such application is pending, no subdivision or other taxing unit is entitled to an advance payment of such moneys under section 321.34 of the Revised Code. After the Commissioner issues a decision, the county auditor shall either refund the taxes, penalties, and interest to the applicant if remission is granted, or distribute the taxes, penalties, and interest to the proper taxing authorities if the remission is denied. 

(E) An applicant under this section shall obtain a certificate from the county treasurer that determines whether all taxes, penalties, and interest that were levied for all tax years that are not eligible years and all special assessments charged against the property have been paid in full. If that is not so, the county treasurer shall issue a certificate to that effect listing the tax years for which taxes, penalties, interest, and special assessments remain unpaid. 

(F)(1) Upon receipt of an application under this section, the Tax Commissioner shall determine if the applicant and the applicant's qualified property meets the qualifications for tax exemption and the qualifications set forth in this section. If these qualifications are met, the Commissioner shall issue an order directing that the property be placed on the tax exempt list of the county and that all paid or unpaid taxes, penalties, and interest for every year the property met the qualifications for exemption be abated. If the Commissioner finds that the property is not entitled to tax exemption and to the abatement of paid or unpaid taxes, penalties, and interest for any of the years for which the current owner claims an exemption or abatement, the Commissioner shall order the county treasurer of the county in which the property is located to collect all taxes, penalties, and interest due on the property for those years in accordance with law. If the Commissioner finds that the property is now being used for a purpose that would foreclose its right to tax exemption, the Commissioner shall issue an order denying the application. 

(2)(a) If the Tax Commissioner determines the qualified property satisfies the requirements for exemption, the Commissioner shall remit such taxes, penalties, and interest for the eligible years, but only with the consent of the taxing authority of the subdivision or other taxing unit to which such taxes, penalties, and interest are owed. For purposes of this section, a taxing authority has given consent if the taxing authority has not passed a resolution, on a form prescribed by the Commissioner, and filed it with the county auditor on or before February 15, 2005, stating its objection to the remission of such taxes, penalties, and interest. On or before January 15, 2005, the county auditor of each county shall notify each subdivision or taxing unit in the county of the enactment of this section and of the requirement that a taxing authority may file an objection to the remission of taxes, penalties, and interest with the county auditor on or before February 15, 2005. If the taxing authority of a subdivision or taxing unit withholds its consent, the applicant shall pay all the outstanding taxes, penalties, and interest owed to that subdivision or taxing unit, except for those taxes, penalties, and interest that are included in the three-year remission period under division (A) of section 5713.081 of the Revised Code. Tax payments for eligible years for which consent has not been obtained shall not be considered unpaid taxes for purposes of establishing jurisdiction to consider an application under this section. 

(b) Consent given under division (F)(2)(a) of this section does not apply to the year an application is filed under this section and to the three-year remission period under division (A) of section 5713.081 of the Revised Code. The applicant retains the right to apply for those years under that section with or without the consent of the applicable subdivisions or taxing units. 

(c) The county auditor shall maintain a record of all taxing authorities that have withheld consent under this section. After the Tax Commissioner's decision is issued for each of the eligible years for which exemption and remission or abatement was requested, the county auditor shall either refund, remit, or abate taxes for which consent has been given, and shall distribute to the appropriate subdivision or other taxing unit those taxes for which consent was withheld. 

The effective date is set by section 183 of H.B. 95 (150 v  - ).