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State Representative David Dill

571 State Office BuildingState Office Building
100 Rev. Dr. Martin Luther King Jr. Blvd.
651-296-2190

For more information contact: Sandy Connolly 651-296-8877

Posted: 2005-02-09 00:00:00
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Press/News Releases

Rep. Dill opposes proposed cuts for PILT payments


Representative David Dill (DFL-Crane Lake) is warning counties that receive Payment in Lieu of Taxes (PILT) for tax exempt land that the administration has targeted those funds for $30 million in cuts.

Under the proposed budget, the annual PILT amount paid will be capped at the 2006 level of just under $14 million. Yearly increases would have put the annual amount to over $17 million by the year 2009. In addition, if new lands are added the total amount will not be increased, cutting the payments even more.

"If this passes, county PILT payments will be treated in much the same way Local Government Aid (LGA) was treated," said Rep. Dill. "By cutting these payments the administration will force counties to either find new ways to pay for essential services or be forced to cut those services."

The bulk of these lands are DNR acquired natural resources land, such as state parks, wildlife management areas and natural areas. Under the current budget the counties receive three-fourths of 1% of the appraised value of the land or $3.85 per acre, whichever is greater. In most cases the PILT funds are used by the counties to maintain and improve the land.

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