Historic cemetery granted tax-exempt status
The Fayette County tax assessment appeals board Thursday granted tax-exempt status to Oak Grove Cemetery in South Union Township.
The board of directors of the cemetery made its case before the appeals board that the cemetery has been tax-exempt since its founding in 1849.
“The appeals board did vote to grant them tax-exempt status. That would be permanent unless something would change with the ownership,” said county Chief Assessor Bill Lukach. The 15-acre cemetery is currently listed for the Sept. 23 tax sale for delinquent taxes, with an upset price of $5,835. Lukach said Thursday’s ruling does not absolve the cemetery of back taxes. Dr. Gary Brain, chairman of the Oak Grove Cemetery board, could not be reached for comment following the decision. Earlier in the day he had said the cemetery always should have been considered tax-exempt.
“We are a tax-free entity. There was a motion passed in 1849 when the (Pennsylvania) Legislature approved the cemetery,” Brain said following the hearing. Although the Legislature declared the cemetery, then known as the Union Cemetery of Fayette County, tax-free, the cemetery board does not have tax-free status under the Internal Revenue Service tax code, section 501(c)(13), which is the tax-free designation for cemeteries. The board voted to continue to pursue that IRS status so people can make tax-exempt donations to the cemetery. In the meantime, the board’s treasurer, J.D. Ewing, said the National Road Heritage Corridor board is willing to accept donations on behalf of the cemetery, allowing people to make tax-free donations while the cemetery board pursues the IRS designation. The National Road Heritage Corridor board will hold its next meeting Sept. 18, at which time it is expected to consider the request from the cemetery board.
“We have to somehow have fundraising for the trust fund, or people in the future are going to go through the same thing,” Brain said.