COUDERSPORT — Potter County municipalities, school districts and taxing bodies will receive a significant influx of funds going forward due to successful lobbying for increased payments in lieu of taxes paid on some state-held lands.
Communities across Pennsylvania received checks last week from the Treasury Department, which reflected a 67 percent increase in the PILT paid on state forest and park lands. An additional $650,000 will be paid to Potter County and its municipalities, boroughs and school districts.
The increased amounts must be paid on lands owned by the Pennsylvania Department of Conservation and Natural Resources, designated as state parks and state forest land. Prior to the passage of the 2016 law authorizing the increase, the PILT on those lands was only $3.60 per acre. The increase will see revenue coming in at $6 per acre. The $6 is split evenly between the municipality, school district and county where the property is located.
“We received the check (Wednesday) for $537,000 from the PILT. We used to receive about $320,000. It’s a large increase for the county,” Potter County Commissioner Doug Morley said. “We will receive more than $600,000 (in additional funding) spread across the county, municipalities and school districts.”
Morley credited efforts by the Pennsylvania State Land Tax Fairness Coalition, made up of commissioners from a number of counties, geographical information system directors, school administrators and others with successfully lobbying for the increases, sorely needed by some of Pennsylvania’s most rural communities and smallest school districts.
Commissioner Paul Heimel, who helped lead the charge to increase the PILT, deferred to lawmakers and state officials who recognized the problem once it was presented to them and acted accordingly.
“We got the support of state lawmakers who can do something about it, from both sides of the aisle. That’s what got this done,” Heimel said. “We took our info and our maps and it was very impactful. This is a win. They did the right thing for the right reasons. They saw this was an injustice, and they did something about it.”
Heimel chaired the Pennsylvania State Land Tax Fairness Coalition, with key support from county commissioners Pete Smeltz (Clinton), Phil Jones (Cameron) and Tony Mussare (Lycoming). Maps were created by county GIS technicians across the represented counties, which illustrated the plight of rural communities, which often have large tracts of land owned by non-taxed entities.
“These higher payments will provide significant tax relief to some of Pennsylvania’s most stressed communities, particularly those in rural areas,” the coalition stated. “We express our appreciation to supportive Senate and House members, Gov. Wolf, and the many other people — too numerous to mention — who pulled together to make this mission a success.”
According to maps prepared by Potter County Planning/GIS Director Will Hunt, who also served on the committee, increases for local communities include $127,600 more to the Austin Area School District, the state’s smallest district. Other municipalities and school districts received thousands of dollars in additional revenue that can be put directly into the general budget, and has been needed for many years.
For more information on the efforts of the coalition, or to see detailed maps generated as part of the initiative, visit pastatelandtaxfairness.com.
