The Tax Man Sleepeth
½ million dollars found in desk!
5thEstate.com exclusive - must credit!

August 22, 2006

Last Tuesday, the Lancaster County Tax Assessment Office discovered that Act 319 administrator Dave Straub, had an estimated ½ million “rollback” tax dollars and hundreds of unrecorded Act 319 Applications laying around his desk. Sources say that Deputy Director Dee Dee McQuire confronted Straub last Tuesday- and he resigned the next day.

Act 319, commonly known as “Clean and Green” (Click to read law) awards participants for NOT developing open and forest lands by giving them a significant reduction on their property tax. If participants later develop the land, they then have to pay 7 years “rollback” taxes plus 6% per year in interest. One of Straub’s responsibilities was to determine exactly how much those taxes were and then collect the check. These “rollback” taxes are what make up the bulk of the checks that date back into the year 2004!

Phil Rainey, the appointed head of Tax Assessment has put a call out to other county departments to get the applications and checks processed. At this time, it’s not know how many school districts and municipalities are owed money from this sleeping tax collect fund. While Straub did report directly to Phil Rainey, under the law, it’s Rainey that has 5 days to report a change in a properties status to the taxing bodies.

According to the LancasterDeeds.com, the Lancaster County Recorder of Deeds website, the number of Act 319 Revocations – which would require a calculation of “rollback” taxes - has dropped dramatically as pictured on this chart from a consistent mid 30’s every year in the late 90’s to ZERO last year and this year! Straub started in 2000 and both the revocations and new applications recorded showing a dramatic decrease during his tenure. While the immediate – “What to do with the checks” is being address, the unknown part of the crisis is:

1) How many properties are currently getting “Clean and Green” tax breaks but don’t have it recorded properly? (the not so obvious problem with this is the lack of oversight from the tax office!)
2) How many properties no longer qualify for “Clean and Green” but are still getting tax breaks?
3) How many properties that don’t qualify and don’t have a “revocation” recorded?
4) How many properties don’t have a clear title as a result of this crisis?
5) How much money is owed to what school district and to what municipality?
6) How many of the ½ million dollars in checks are expired and therefore no good?

Lancaster County Controller Dennis Stuckey has been called in to evaluate the crisis and audit the records.

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