Financial Assistance Programs

Special Assessment Deferment Program

Introduction

The Special Assessment Deferment Program (SADP) allows qualifying homeowners to defer payment of their road or water/sewer special assessments. The Bloomfield Township Board of Trustees approved the SADP on February 24, 2025 because they recognized that even though these necessary improvements enhance our community, the cost can be a significant burden to some. Residents are encouraged to apply if they think they qualify for “financial hardship” as defined below, and they will need to apply each year for that year’s assessment.

Hardship Defined

For purposes of this Program, hardship exists when a homeowner’s annual special assessment (principal and interest) expressed as a percentage of their total household Gross Income is greater than a threshold determined by household size, according to the following table:

“Gross Income” is defined as the number shown on line 9 on IRS Form 1040, also called “Total Income”. If a homeowner is married and files a separate tax return from their spouse, Gross Income will be the sum of the numbers on line 9 of both spouses’ tax returns.

The total household Gross Income must be $150,000 per year or less to qualify for this Program.

The household must have no more than $35,000 in Assets for single-member households or $50,000 for multi-member households. Assets shall include: cash in checking and savings accounts; certificates of deposit; investment accounts holding stocks, bonds, mutual funds, derivatives, or cryptocurrency; real estate other than the primary residence; vehicles other than the primary vehicle(s); and recreational vehicles or equipment.

The combined balance of mortgage debt and other liens on the property cannot be greater than two times the property’s current year assessed value.

If a resident qualifies for the Property Tax Hardship Exemption they will automatically qualify for deferment of their assessment.

Process

1. The Township Assessor will accept applications for that year’s assessments until June 30th. Applications must include a current year tax return, a personal financial statement, and supporting bank statements. The Township Assessor may require additional documentation to determine an applicant’s qualification.
2. Township staff reviews applications and determines which residents demonstrate a hardship (as defined above) and therefore qualify for deferment. The Assessor and Treasurer will jointly make final decisions on qualification.
3. The Treasurer may waive one requirement or qualification if the resident can demonstrate extenuating circumstances, including but not limited to: percentage of income, maximum income, documentation, or the value of assets.
4. Residents are notified no later than September 15th  of the Township’s decision. Tax bills will be sent out by December 1 without the assessment for those who qualify. Note that the ordinary property tax amount is not changed.
5. If a resident is unsatisfied with the Township’s initial decision, they can appeal to a committee consisting of the Treasurer, Assessor, Supervisor, Clerk, and Finance Director. A majority vote is required to overturn the initial decision. Appeals must be requested by September 30th.
6. Residents for whom this is their first deferment sign a Deferment Agreement and a Lien which the Township records with the county. Residents who have received a deferment in a previous year sign an acknowledgment of increase to their total deferment. Residents must qualify each year in order to receive deferment of that year’s assessment.

Repayment

The Township will collect the deferred funds from the resident plus accrued interest, upon one of the following events, whichever occurs first:

1. The resident sells their home.
2. The resident refinances their mortgage.
3. The resident transfers their home, even to a related party (except a spouse).
4. The funds have been deferred for 10 years.

The Treasurer may defer repayment for an additional year in scenarios 3 or 4 above if the homeowner can demonstrate continued hardship.

The resident will pay simple (non-compounding) interest at the rate of 3% per year on deferred amounts.

Upon repayment of all amounts deferred by a homeowner, the Township will record a Discharge of Lien with the county.

Hardship Exemption

As of June 2020 Bloomfield Township has streamlined the process and application form for those residents seeking hardship exemption for property taxes, waiver of solid waste, and Minor Home Repair Community Block Grants. Residents facing financial hardship can now use one form to apply for any or all of the above. The Assessor's Office will administer this program.

Bloomfield Township Financial Assistance Program