To view this page ensure that Adobe Flash Player version 11.1.0 or greater is installed.
October 2, 2013 THE VILLADOM TIMES I • Page 3
Midland Park
Church unable to get extension on tax payments
A set of unusual circumstances have
left a Midland Park church facing the
possibility of having its property listed
for tax sale this year.
Although a house of worship is ordi-
narily exempt from paying property
taxes, the Han Maum Reformed Church
failed to file a statement of exemption
with the municipality as required by state
law when it purchased the property at 218
Irving Street in April of 2009, triggering
the default.
The church’s representative, Sung Jae
Yi, offered the Midland Park Mayor and
Council last week to hand over a cashier’s
check for $5,000 towards its $18,000 debt
right at the meeting if the governing body
would agree to restructure the remaining
$13,000. According to Borough Attor-
ney Robert Regan, the church had been
granted two previous extensions, in addi-
tion to a waiver of its $17,300 interest
penalty, but had not followed through on
the payments.
“It’s extremely unusual for churches
not to be granted exemptions. Procedures
were not followed. You got caught up.
There is nothing we can do,” said Mayor
Patrick “Bud” O’Hagan, who noted that
when a taxpayer is in default, the rest
of the taxpayers have to make up the
amount. “The borough has to have 100 percent
in tax collections. The taxpayers have
been supporting you,” O’Hagan told Yi.
In pleading his case, Yi explained that
the original oversight in filing for the
exemption was due to their pastor at the
time having cancer, from which he ulti-
mately died. A subsequent pastor gained
the exemption status for the church but
then left and took half of the congrega-
tion with him. Those who remained have
been unable to keep up with the payments
agreed to with the town, Yi said, adding
that parishioners have been extending
personal loans to meet some of the pay-
ments. We have recruited a new pastor, and
we’d agreed to start paying, but we’ve
fallen behind. We just couldn’t manage.
It’s a hardship. We need to structure the
charges until we sell the building,” Yi
said. Following the initial settlement with
the town, the church owed $50,000 in
back taxes, without interest, which it was
to pay in installments. Following an ini-
tial payment, it still owed $36,000, the
balance of which has to be paid by the
end of 2013, or when the property is sold,
whichever occurs first.
O’Hagan suggested the church might
want to get a short-term loan or take out
a second mortgage, since the interest on
either transaction would likely be less
than the interest from a tax sale.
“It’s up to the church to decide how
they want to handle it,” O’Hagan said.
The Han Maum Reformed Church, a
South Korean congregation originally
from Paramus, purchased the church
building, which had previously been
tax-exempt, from New Life Ministries,
a contemporary worship church that had
purchased it from the Eastern Christian
Schools. Irving Park Christian Reformed
Church donated the property to Eastern
Christian when it disbanded in 2000 after
45 years due to dwindling membership.