The Holiday Inn on Third Street and an absentee landlord are among the property owners who owe the highest amount of delinquent property taxes in Covington, according to the city. Now a new proposal is aiming to balance the city’s books.
Covington Commissioner James Toebbe first proposed the measure last month. Toebbe emphasized that this was not about punishing particular residents or bullying Covingtonians into paying more taxes. Instead, it was about ensuring people with longstanding bills paid their share for city services.
“Before we continue to place additional burdens on our residents who are paying taxes and fees on time, we should also be making a stronger effort to collect the money that is already owed to the city,” Toebbe said in May. “This order is not about taking punitive action, but it’s simply about communication and accountability, reaching out to residents and businesses with taxes or fees owed to the city.”
The Board of Commissioners unanimously approved the proposal on May 26. The order directed the city manager’s office to send letters to delinquent owners, both individuals and businesses, instructing them to pay outstanding property tax bills, as well as outstanding storm water and waste collection fees.
Toebbe had made a records request with the city’s finance department for a list of outstanding bills after he first proposed the measure. He shared his results with LINK nky, but the initial spreadsheet contained several inaccuracies, which took some time for the finance department to correct. The city produced an updated list last week, which shows there’s about $2.4 million in delinquent property taxes and fees (some dating back years) throughout the city.
There are some nuances to the $2.4 million figure. For one thing, many of the water fees are recent, and many residents pay those fees with their property tax bills, which might explain some of the outstanding fees. Just under a quarter of the delinquencies, about $568,000, are for outstanding storm water and trash fees.
The entry with the highest amount of outstanding property taxes is not a household but a business, the Holiday Inn on West Third Street. The owner of the hotel is an Indiana-based LLC called Southbend Hospitality, which owes $56,455.62 in combined property taxes and fees, according to city financial records. About $53,000 of that combined figure is delinquent property taxes.
The principal of Southbend Hospitality, according to the Indiana Secretary of State’s Office, is a Balvir Singh, whom LINK nky has been unable to contact directly.
The second-highest entry is a trust called Real Holdings Trust Co., Inc., which owns a single property on East 15th Street, owing about $32,000 in back taxes and fees dating back years. The company’s mailing address is a PO Box in St. Petersburg, Fla. LINK nky was not able to locate any records of that company with the Kentucky Secretary of State’s Office. The Florida Division of Corporations has record of a company by that name, but it’s listed as inactive, and the mailing address on file with the Florida division doesn’t match the one in Covington’s records.
The third is the LLC that owns the Braxton Brewing Co. building on 7th Street, owing $30,782.48 in property taxes. LINK nky reached out to Jake Rouse, who characterized the delinquency as a “misunderstanding.”
“We were unaware…,” Rouse said but added that “we’ve taken care of it with the city.” LINK nky has made a public records request to confirm payment and will update this story once we receive the documentation.
Given Rouse’s comments, it’s possible that other businesses and residents in the delinquency list were not aware they owe back taxes and fees.
Whoever receives a letter from the city must make a payment “by June 30, 2026, to avoid additional collection activity,” according to a city announcement. Read the full announcement here to learn about different ways to pay.
