Three groups of property owners in Ramsey County will get an extra two months to pay property taxes due to hardships caused by the coronavirus pandemic.

These properties will not need to pay property taxes until July 15:

Non-escrow homestead properties

Non-escrow small businesses with property taxes less than or equal to $50,000

Non-escrow residential non-homestead properties of one to three units with property taxes less than or equal to $20,000

“We’re really trying to provide this relief to those who are most impacted,” said Ramsey County Commissioner Victoria Reinhardt.

Fifty percent of taxpayers pay property taxes through an escrow company. Roughly one-third of the county’s total property tax revenues of $1.15 billion are expected to be paid through escrow. These taxpayers naturally see a flattening of payments made for property taxes.

Non-escrow taxpayers need to accumulate funds for the May and October payments and are most impacted by the recent financial insecurities caused by COVID-19.

This penalty waiver will be in addition to any relief from penalty the taxpayer has received from the county over the past 10 years and will not impact the taxpayer’s status to participate in the program in the next 10 years.

A property tax subcommittee was created as part of Ramsey County’s response to the COVID-19 emergency. The committee, which includes representatives from cities and schools within the county, began meeting March 23 with the goal of providing relief to some renters and addressing the May 15 property tax deadline. The county board approved the committee’s proposal at its Tuesday meeting.

Not included in the deferral are the small businesses that lease rather than own the property where their business operates.

The county is encouraging all those who can pay their property taxes on time to do so. Forty-four percent of Ramsey County’s revenue comes from property taxes.

The committee estimates that if 30 percent of affected taxpayers defer their May 15 payment, county revenues in May would be 5.3 percent less than normally expected.

According to Alex Kotze, the county’s chief financial officer, the county can handle the deferred payments because “Ramsey County is in good financial shape.”

The county entered 2020 with contingency funds and an excellent bond rating. However, deferring payments beyond July 15 would begin to cause risk to the county’s cash flow, Kotze said.

The county’s emergency response to the pandemic has already cost about $7.5 million with $20 million in potential expenses yet to be charged. County Manager Ryan O’Connor is encouraging county departments to look for belt-tightening opportunities.

For those who do not meet the requirements for a deferral, Reinhardt suggests they call to ask about their alternatives.

“For those just above the threshold or those not a part of that, the action taken today is not exclusive of options that property taxpayers have every tax season, including the ability to make partial payments and the right to appeal to the county auditor/treasurer for an abatement in cases of exceptional hardship,” she said.

More information can be found at ramseycounty.us/paypropertytax.