County, Hangar 6 continue to debate tax issue
By
Rory Ryan-hcpress@cinci.rr.com
The ongoing property tax dispute between the Highland County commissioners and the legal counsel for Hangar 6, a business located at the Highland County Airport, continues to be at impasse.
This week, Commissioners Shane Wilkin, Tom Horst and Jeremy Shaffer said in a Feb. 2 letter to Highland County Prosecutor Jim Grandey they are asking their legal counsel to “proceed to collect the delinquent tax as quickly as possible, including penalties and interest.”
As first reported by The Highland County Press, after meeting with Hangar 6 attorney Brian Sullivan of the Cincinnati firm of Dinsmore and Shohl, LLP, in March 2010 and agreeing to continue communications, commissioners received a June 25, 2010 letter which stated: “When we last met on March 17, 2010, I thought we would be able to come to some resolution concerning the disputed issue of Hangar 6’s obligation to pay for the real
estate taxes on the property it leases from Highland County. ...Unfortunately, this week Hangar 6 received another tax bill indicating not only is it obligated to pay the current real estate taxes, but must pay all prior assessments dating back to 2005 when the leased property was split by someone in the auditor’s office. To add insult to injury, Hangar 6 also received a tax bill for a ‘manufactured home’ located on the property it
leases from the county.
“I hope this was simply an oversight by the county and not an intentional act.”
Commission President Shane Wilkin said at the June 30, 2010 board meeting he was writing a letter to Sullivan in response to the property tax issue.
Wilkin told The Highland County Press this week that the two sides were no closer to an agreement.
Highland County Prosecutor Jim Grandey said last year, “There is no question the county has to pay tax on the land. {But} I don’t know any provision in Ohio law that permits a county to pay taxes for a third party business which they have no interest in. We cannot pay taxes on something we don’t own. It’s not our name on the mortgage, it’s Hangar 6.”
“For us to ask the taxpayers to subsidize a private business by picking up its taxes, I’m not comfortable with that,” Wilkin said when the issue surfaced last summer. “The county shouldn’t be in the business of paying private citizens’ taxes.”
The Feb. 2 letter to the prosecutor reads as follows:
“Enclosed is the correspondence relating to the issue of delinquent taxes for Hangar 6, Inc. and a copy of the 2001 lease. Brian Sullivan, Dinsmore & Shohl, LLP, attorney for Hangar 6, Inc., offered no other option than to let the court decide this issue.
“To summarize the problem, Hangar 6, Inc., owned by George Matthews, believes that the County owes all property taxes relating to Hangar 6, Inc. The Board of Commissioners’ position is that the County is responsible for the tax on the leased premises (land only) and Hangar 6, Inc. is responsible for the tax on the building constructed by Hangar 6, Inc.
“We do not believe the taxpayers of Highland County should bear the burden of the taxes on a commercial building used for private enterprise.
“According to Bill Fawley, County Auditor, the total amount of delinquent tax, penalty, and interest through the first half of 2010 is $5,980.83. I ask that you review the enclosed documentation and proceed to collect the delinquent tax as quickly as possible, including penalties and interest.
“I find it regrettable that the county must now allocate time from understaffed offices and money from taxpayer dollars to pursue this matter in court, but we have no other option.
If you have any questions, please contact us at your convenience.”[[In-content Ad]]
This week, Commissioners Shane Wilkin, Tom Horst and Jeremy Shaffer said in a Feb. 2 letter to Highland County Prosecutor Jim Grandey they are asking their legal counsel to “proceed to collect the delinquent tax as quickly as possible, including penalties and interest.”
As first reported by The Highland County Press, after meeting with Hangar 6 attorney Brian Sullivan of the Cincinnati firm of Dinsmore and Shohl, LLP, in March 2010 and agreeing to continue communications, commissioners received a June 25, 2010 letter which stated: “When we last met on March 17, 2010, I thought we would be able to come to some resolution concerning the disputed issue of Hangar 6’s obligation to pay for the real
estate taxes on the property it leases from Highland County. ...Unfortunately, this week Hangar 6 received another tax bill indicating not only is it obligated to pay the current real estate taxes, but must pay all prior assessments dating back to 2005 when the leased property was split by someone in the auditor’s office. To add insult to injury, Hangar 6 also received a tax bill for a ‘manufactured home’ located on the property it
leases from the county.
“I hope this was simply an oversight by the county and not an intentional act.”
Commission President Shane Wilkin said at the June 30, 2010 board meeting he was writing a letter to Sullivan in response to the property tax issue.
Wilkin told The Highland County Press this week that the two sides were no closer to an agreement.
Highland County Prosecutor Jim Grandey said last year, “There is no question the county has to pay tax on the land. {But} I don’t know any provision in Ohio law that permits a county to pay taxes for a third party business which they have no interest in. We cannot pay taxes on something we don’t own. It’s not our name on the mortgage, it’s Hangar 6.”
“For us to ask the taxpayers to subsidize a private business by picking up its taxes, I’m not comfortable with that,” Wilkin said when the issue surfaced last summer. “The county shouldn’t be in the business of paying private citizens’ taxes.”
The Feb. 2 letter to the prosecutor reads as follows:
“Enclosed is the correspondence relating to the issue of delinquent taxes for Hangar 6, Inc. and a copy of the 2001 lease. Brian Sullivan, Dinsmore & Shohl, LLP, attorney for Hangar 6, Inc., offered no other option than to let the court decide this issue.
“To summarize the problem, Hangar 6, Inc., owned by George Matthews, believes that the County owes all property taxes relating to Hangar 6, Inc. The Board of Commissioners’ position is that the County is responsible for the tax on the leased premises (land only) and Hangar 6, Inc. is responsible for the tax on the building constructed by Hangar 6, Inc.
“We do not believe the taxpayers of Highland County should bear the burden of the taxes on a commercial building used for private enterprise.
“According to Bill Fawley, County Auditor, the total amount of delinquent tax, penalty, and interest through the first half of 2010 is $5,980.83. I ask that you review the enclosed documentation and proceed to collect the delinquent tax as quickly as possible, including penalties and interest.
“I find it regrettable that the county must now allocate time from understaffed offices and money from taxpayer dollars to pursue this matter in court, but we have no other option.
If you have any questions, please contact us at your convenience.”[[In-content Ad]]