January 2026 Update

We are sharing the following updates regarding the City of Orange’s administration of the Mills Act Program:

1. Mills Act applications remain on hold.
As of January 2026, the City has not provided an update on when new Mills Act applications may resume. OTPA continues to monitor this issue closely and will share information with our members as soon as it becomes available.

2. Follow-up letters to certain Mills Act contract holders.
Since the initial letter sent by the City in August 2025, OTPA—working in collaboration with the Orange Legacy Alliance (OLA)—has met with the City’s Community Development Department to help prepare a clearer, more targeted follow-up communication.

We have been informed that a second letter will be sent specifically to Mills Act contract holders who are currently deemed out of compliance. According to City staff, these letters will initially be directed to properties that have either:

• Not paid the required annual Mills Act filing fee; and/or
• Not reported any completed work for an extended period of time (generally 5 to 10 years).

At present, approximately 40 properties fall into this category.

OTPA supports efforts to ensure the Mills Act Program is administered fairly, consistently, and in accordance with the intent of the program—while also recognizing the importance of clear communication and reasonable expectations for contract holders. We remain actively engaged with City staff to advocate for transparency, due process, and a preservation-focused approach as these matters move forward.

As always, we will continue to keep our members informed as additional information becomes available.

Mills Act Letters – August 2025

Following is an important update regarding the recent letter sent by the City to all Mills Act contract holders.

Since the letter was distributed, we have heard significant concern from our community, and we immediately raised these issues in multiple meetings with City officials — including the City Manager and staff. Through these conversations, we came to a shared understanding that this was not an appropriate letter to send to contract holders. Staff acknowledged that the letter caused confusion and frustration and should not have been mailed out. It was made clear in our discussions that they regret the confusion and concern it created.

Please know that additional meetings are being held — and will continue — to address and clarify outstanding issues with the City’s administration of the Mills Act Program. OTPA remains fully committed to this program, which has played such a vital role in preserving the historic resources of our community.

We also want to take this opportunity to reaffirm the core responsibilities that come with holding a Mills Act contract:

1.     Use your property tax savings to complete the Scope of Work outlined in your original 10-year contract;

2.     Provide annual updates documenting completed work, ideally with photographs and receipts, when possible;

3.     Pay the annual filing fee, and fulfill any additional requirements specified in your agreement.

As a reminder, the Mills Act is a critical preservation tool designed to support the maintenance, restoration, and rehabilitation of qualified historic properties. It is not a hands-off tax benefit, but a partnership that requires active stewardship and ongoing documentation.

If you have questions about your responsibilities, need a copy of your contract, or assistance navigating your obligations, we strongly encourage you to contact Michelle Dulalia at:
mdulalia@cityoforange.org. Be sure to keep the email thread for your records.

Thank you for your continued dedication to historic preservation in Orange.

For additional Mills Act details please view our informational page here