Editor’s note: This is a letter sent to Gov. Peter Shumlin from Oliver Olsen, a former state representative for the towns of Jamaica, Londonderry, Stratton, Weston and Winhall.

Dear Governor Peter Shumlin,

After reading the story in today’s Rutland Herald about the plight of your neighbor, Jeremy Dodge, I could not help but wonder how a man of such limited means could end up with a property tax bill that quite literally forced him from his own home.

As one of the architects of Act 60, and one of its most ardent defenders, you often cite the effectiveness of Vermont’s income sensitivity program.  Thus, you are undoubtedly aware of the significant tax reductions available to homeowners with low to moderate incomes, including Vermont’s property tax rebate program, which limits property tax bills to 5% of a low-income Vermont homeowner’s income.

It would seem, at least from what was reported in the media, that Mr. Dodge’s income level would qualify him for a substantial reduction in his property taxes, so I come back to the question of how he could have been saddled with such a large property tax liability in the first place.

I know from my own experience that the complexities of Act 60/68 leave many Vermonters confused and lost in the system, particularly the elderly and those of diminished capacity.

According to records from your Tax Department, it appears that Mr. Dodge may not have qualified for these tax reductions, because for at least 2010 and 2012 (I don’t have the 2011 records), the grand list indicates that no homestead declaration was filed for the property that Mr. Dodge owns (SPAN: 195-062-10261).

If Mr. Dodge did indeed fail to file his homestead declaration, he certainly would not be the first. I know from my own experience that the complexities of Act 60/68 leave many Vermonters confused and lost in the system, particularly the elderly and those of diminished capacity.  But during my time in office, when I received a call from a low-income neighbor stunned by a big property tax bill, my first question was always, “have you filed your homestead declaration, and have you applied for your property tax prebate/rebate?”

Perhaps you didn’t think to ask that question; perhaps you did; maybe there is a good reason why Mr. Dodge is not eligible for a property tax rebate.  But if he was eligible, and was not in a capacity to avail himself of the tax relief that could have kept him in his home, I think you owe it to Mr. Dodge to help rectify the situation, because at face value, someone with knowledge of the system should have asked why his tax bill was so high to begin with.

As you know, there are a number of remedies in statute to help with extraordinary tax situations, such as the one that Mr. Dodge found himself in – everything from a tax abatement to the Tax Department’s authority to grant extraordinary relief under 32 V.S.A. § 3206.  It sounds like Mr. Dodge just needs a little help from someone who knows a thing or two how our property tax system works.

Of course, resolution of Mr. Dodge’s excess tax liability is a moot subject for as long as the purchase and sales agreement remains in force.

I still have vivid memory of your State of the State address last year, particularly your reminder of how Vermonters help their neighbors, because that is the Vermont Way.  I sincerely hope that you are willing to help yours.

 

 

Pieces contributed by readers and newsmakers. VTDigger strives to publish a variety of views from a broad range of Vermonters.

19 replies on “Olsen: Why wasn’t Dodge informed about income sensitivity for property tax debt?”