LOCAL LAW NO. __ OF 2026
A LOCAL LAW AMENDING ARTICLE XV OF THE CHARTER OF THE CITY OF MOUNT VERNON TO ESTABLISH AN INSTALLMENT PAYMENT PLAN FOR DELINQUENT PROPERTY TAXES
BE IT ENACTED by the City Council of the City of Mount Vernon, in regular session convened, as follows:
Section 1. Title. This enactment shall be known as “A Local Law Amending Article XV of the Charter of the City of Mount Vernon to Establish an Installment Payment Plan for Delinquent Property Taxes”, is hereby amended to read as follows:
NOW, THEREFORE, it is the intent of the City Council of the City of Mount Vernon to amend the Tax Law to effectuate the purposes set forth in this Local Law.
The tax law is amended by adding a new section 240.1 to read as follows
§ 240.1. Installment payment of eligible delinquent taxes.
1. The City Council of the City of Mount Vernon is hereby authorized and empowered to enact and amend a local law providing for the installment payment of eligible delinquent taxes. Such installment payment of eligible delinquent taxes shall commence upon the signing of an agreement between the enforcing officer and the eligible owner. The agreement shall be kept on file in the office of the enforcing officer.
2. The first payment required for an installment plan must be at least 10% of the delinquent taxes, assessments, or other charges, rather than the previous 25%.
3. The installment plans are subject to specific durations: a maximum of 10 years for seniors earning 40% or less of the area median income, 5 years for residential property owners, and 3 years for all other property owners.
4. The installment plans must provide flexibility for monthly or quarterly payments.
5. A property owner shall not be eligible to enter into an agreement pursuant to this section where:
(a) there is a delinquent tax lien on the same property for which the application is made or on another property owned by such person and such delinquent tax lien is not eligible to be made part of the agreement pursuant to this section;
(b) such person is the owner of another parcel within the tax district on which there is a delinquent tax lien, unless such delinquent tax lien is eligible to be and is made part of the agreement pursuant to this section;
(c) such person was the owner of property on which there existed a delinquent tax lien and which lien was foreclosed within three years of the date on which an application is made to execute an agreement pursuant to this section; or
(d) such person defaulted on an agreement executed pursuant to this section within three years of the date on which an application is made to execute an agreement pursuant to this section.
6. A property owner shall be eligible to enter into an agreement pursuant to this section no earlier than thirty days after the delivery of the return of unpaid taxes to the enforcing officer.
7. The amount due under an installment agreement shall be the eligible delinquent taxes plus the interest that is to accrue on each installment payment up to and including the date on which each payment is to be made. The agreement shall provide that the amount due shall be paid, as nearly as possible, in equal amounts on each payment due date. Each installment payment shall be due on the last day of the month in which it is payable.
8. Interest and penalties. Interest on the total amount of eligible delinquent taxes, less the amount of the down payment made by the eligible owner, if any is required, shall be that amount as determined pursuant to the applicable sections of this chapter, or such other law as may be applicable. The rate of interest in effect on the date the agreement is signed shall remain constant during the period of the agreement. If an installment is not paid on or before the date it is due, interest shall be added at the applicable rate for each month or portion thereof until paid. In addition, if an installment is not paid by the end of the fifteenth calendar day after the payment due date, a late charge of five percent of the overdue payment shall be added.
9. Waiver of interest and penalties for certain eligible deployed military members. The City of Mount Vernon may waive interest, penalties, and fees as would otherwise be imposed pursuant to this section, provided that:
(a) the financial hardship was caused in substantial part by the owner's having been ordered to active military duty in the United States armed forces, including the reserve components of such armed forces;
(b) the deployment lasted for at least six contiguous months, or the owner was killed in action during such activation; and
10. Default
(a) The eligible owners shall be deemed to be in default of the agreement upon:
(i) non-payment of any installment within thirty days from the payment due date;
(ii) non-payment of any tax, special ad valorem levy or special assessment which is levied subsequent to the signing of the agreement by the tax district, and which is not paid prior to the receipt of the return of unpaid taxes by the enforcing officer; or
(iii) default of the eligible owner on another agreement made and executed pursuant to this section.
(b) In the event of a default, the tax district shall have the right to require the entire unpaid balance, with interest and late charges, to be paid in full. The tax district shall also have the right to enforce the collection of the delinquent tax lien pursuant to the applicable sections of law, special tax act, charter, or local law.
(c) Where an eligible owner is in default and the tax district does not either require the eligible owner to pay in full the balance of the delinquent taxes or elect to institute foreclosure proceedings, the tax district shall not be deemed to have waived the right to do so.
11. Notification of potential eligible owners.
(a) Within forty-five (45) days after receiving the return of unpaid taxes from the collecting officer, or as soon thereafter as is practicable, the enforcing officer shall notify, by first-class mail, all potential eligible owners of their possible eligibility to make installment payments on such tax delinquencies. The enforcing officer shall add one dollar to the amount of the tax lien for such mailing if the local law provides for such a charge.
(b) The failure to mail any such notice, or the failure of the addressee to receive the same, shall not in any way affect the validity of taxes or interest prescribed by law with respect thereto.
(c) The enforcing officer shall not be required to notify the eligible owner when an installment is due.
12. Where an installment agreement so provides, the lien or liens to which the agreement relates may be sold to the state of New York municipal bond bank agency, or a tax lien entity created thereby, pursuant to title five of this article. In case of such a sale, the rights and duties of the tax district under the agreement shall be assumed by the tax lien purchaser. The tax lien purchaser shall continue to allow the owner or owners to make installment payments in the amounts and at the times specified in the agreement, as they did prior to the sale to the tax lien purchaser. However, such payments shall be made to the tax lien purchaser or its tax collection agent, rather than to the tax district, unless the tax district and the tax lien purchaser have agreed otherwise.
13. The provisions of this section shall not affect the tax lien against the property except that the lien shall be reduced by the payments made under an installment agreement, and that the lien shall not be foreclosed during the period of installment payments, provided that such installment payments are not in default.
Section 2. Implementation and Oversight. All officers, departments, and agencies of the City of Mount Vernon shall comply with the provisions of this Local Law. The Department of Finance shall provide administrative support and coordination to ensure the timely collection of delinquent property taxes.
Section 3. Effective Date. This act shall take effect immediately; provided, however, that the provisions of this act shall expire ten years after such effective date, when upon such date the provisions of this act shall be deemed repealed.
New Matter Underlined
Deleted Matter in Brackets [ ]