Watkins Glen, NY—Schuyler County has successfully opted into a class action lawsuit against the federal government to recover payments in lieu of property taxes on federal lands within the county.
According to Schuyler County Attorney Steven Getman, the county was notified Friday (August 31) that its claim had been accepted in the Kane County, Utah v. United States class action lawsuit to recover federal Payment in Lieu of Taxes (PILT) underpayments for fiscal years 2015 through 2017.
The County Legislature voted August 13 to authorize Getman to file papers joining the lawsuit.
The United States Court of Claims has held that underpayments by the Department of Interior on federal PILT programs in Kane County and other local governments may have occurred during 2015 to 2017, Getman explained. The PILT Act is intended to compensate local governments for tax revenues lost from federal lands in their jurisdictions, and the costs of providing services to those lands, Getman said.
That could include the part of the Finger Lakes National Forest in the Town of Hector, Getman said.
“If court determines the county was underpaid under PILT agreements for lands in the National Forest, the county can recover additional money” Getman said. “There is no cost to participate in the lawsuit and no disadvantage to the county to do so.”
According to County Administrator Tim O’Hearn, “any money collected would go to the county as direct revenue to offset the cost of services to the forest and lost tax revenue, in order to reduce the local tax burden.”
“Given the fiscal stresses placed on local governments by state and federal mandates, county officials have a duty to make sure that any funds due Schuyler County taxpayers come back to Schuyler County to pay for necessary services,” Getman noted.
County Treasurer Harriett Vickio has reported that the County received payments for the affected years as follows: 2015, $16,526.00; 2016, $17,244.00; 2017, $17,091.00.
Any additional amounts for those years obtained from the lawsuit would be calculated by the court, Getman said.
Background:
Kane County, Utah is one of a number of units of local government entitled to certain payments from the federal government known as Payments in Lieu of Taxes (PILT). The PILT Act, 31 U.S.C. §§ 6901–07, provides that the Secretary of the Interior must make a payment to each eligible local government each fiscal year, in an amount determined by the statute’s formulas. In FYs 2015 through 2017, Congress did not appropriate enough funds to make full payments according to the PILT Act’s formulas, and the Secretary therefore reduced each eligible government’s payment proportionally. Kane County then brought these consolidated cases, alleging that the federal government’s failure to pay the full formula amounts was a breach of the statute’s money-mandating obligation. It moved for summary judgment as to liability in both cases and the Court granted its motions. Kane County then moved for class certification and the court granted that motion also, allowing counties such as Schuyler to join the case.
The Finger Lakes National Forest, encompassing 16,118 acres, is located between Seneca and Cayuga Lakes in the Finger Lakes Region of New York State. The land area lies in the towns of Hector, in Schuyler County, and Covert and Lodi, in Seneca County. The Forest has over 30 miles of interconnecting trails that traverse gorges, ravines, pastures, and woodland. It is the only National Forest in New York State.
The following other New York counties have joined the lawsuit to date:
- Broome County, New York
- Cattaraugus County, New York
- Cortland County, New York
- Dutchess County, New York
- Nassau County, New York
- Orange County, New York
- Putnam County, New York
- Schuyler County, New York
- Seneca County, New York
- Washington County, New York
The Schuyler County Attorney is the legal advisor to the county legislature other county officials. The County Attorney prosecutes and defends civil actions and proceedings brought by or against the county, the legislature and any officer whose compensation is paid from county funds for any official act, in accordance with New York State law.
