The City of Covington will freeze city property taxes at the pre-rehab level for a period of five years, on properties that will be undergoing rehabilitation.  The purpose of this program is to encourage the repair, rehabilitation, and restoration of buildings 25 years old or older.  This property tax freeze is achieved through a moratorium on property valuation assessments.

To qualify for the property tax freeze, an application form must be submitted to the City’s Economic Development and Community Relations Department at least 30 days before any construction work begins.  The property’s value is assessed by the Kenton County Property Valuation Administrator (PVA).  The application is then reviewed by city officials and approved by the Covington City Commission.  The moratorium becomes effective on the next assessment date after approval remains in effect for five years.

Improvements must be completed with in two years unless a written extension is granted.  Upon completion of the work, the owner should notify the City’s Finance Department and request an on-site property inspection to insure that the improvements proposed in the application have been completed.  The City of Covington Finance Department shall then enter the PVA assessment for the property for City tax purposes only.

A tax moratorium may be transferred or assigned by the holder of the certificate to a new owner or lessee of the property.  Any property granted an assessment moratorium may be eligible for another moratorium if three years have passed since the previous moratorium ended.   On the next assessment date following the expiration, cancellation, or revocation of an assessment or reassessment moratorium, the property will be assessed on the basis of its full fair cost value.

Application Process

The following documentation/procedures are required for an Assessment Moratorium request to be considered:

1. Submit a completed Assessment Moratorium Application.
2. Attach a detailed cost breakdown of work to be completed for the dollar amount entered in the Property Information section of the application.

The completed application and detailed breakdown of work is voted on by City Commission and a resolution issued for approved applications.

Click here to download the application.