Commissioners OK tax abatement program for two municipalities
Fayette County commissioners extended support to two community Local Economic Revitalization Tax Assistance Act (LERTA) programs to spur further business development.
In a majority vote Thursday, the officials adopted the tax exemptions provided for in the Wharton Township LERTA ordinance and extended a LERTA ordinance for the City of Connellsvile for a five-year period, retroactive to Aug. 16.
The tax abatement program sparked some discussion between the commissioners and attendees who questioned why businesses should be given a tax break to undertake a construction or renovation project when homeowners do not.
“(When a homeowner completes a home improvement project), the county sends out our assessors to say that now that you have improved your property, you have an increase in your tax,” said Commissioner Angela M. Zimmerlink. “I don’t think that is being fair and equitable.
“There are pros and cons and statistics that go both ways, but in my opinion, it does not work.”
Zimmerlink added that LERTAs were issued for certain buildings in Uniontown, but they now stand vacant.
“I support anyone that improves their properties,” she said. “We all want businesses, as well as homeowners, to develop and increase the value of their property.”
Commissioner Dave Lohr said the competition by municipalities, counties and states to draw new business requires leaders to offer incentives similar to LERTA.
“It is a selling point,” he said. “Not necessarily a great point, but it is a selling point.
“I’d rather see an increase in sales tax and do away with all (property taxes). However, we are competing for businesses every day to come to this county. I understand its on the taxpayers and on the homes, but the more (business) the better off we are.”
Commissioner Vincent Vicites said several businesses have located within the county because their owners were offered a tax abatement.
“The local officials are telling us they want this,” he said. “They know what is best for their communities.
“You don’t offer the incentive, you don’t grow your county. It is a simple as that. This is a tool for economic development.”
Vicites and Lohr supported the two LERTA actions with Zimmerlink casting a no vote in the matter.
In related action, commissioners took no action in a request from Nemacolin Woodlands LLC in Wharton Township to enact a LERTA for a new sign erected at its entrance.
Solicitor Jack Purcell said that he had spoken with a representative that agreed a sign was not eligible for the program as it did not impact that value of the property.
A fourth LERTA request, made by Riverside Motor Sales in Markleysburg, was tabled to allow the property owner to provide the county additional information.
Purcell said while it appeared the applicant did not submit the LERTA request when a building permit was secured, as required, the owner believes other documentation dating back to 2008 will support the request.
“They stopped the project (in 2008) because of the financial crisis and then restarted again recently,” he said. “The issue is did they properly request the LERTA designation at the right time.
“They believe there is some documentation that the township has that might cause us to review our decision.”
Turning to other matters, commissioners were split in their decision as to who should fill a vacancy on the Fayette County Airport Authority board of directors.
In a 2-1 vote, Sam Cortis, former airport manager and board member, was appointed to a five-year term on the panel.
The vacancy occurred in July when Monty “Cash” Lilley offered his letter of resignation just six months after his February appointment. He had replaced Cortis, whose term had expired.
Zimmerlink had motioned for Robert Gordon to fill the slot, but the move did not garner support from Vicites or Lohr.
“He did not apply for that particular board,” said Vicites, adding that Cortis and a second candidate, Gary Sobek, did express interest in the airport board. “I asked (Cortis) specifically if he would be committed to economic growth at the airport, and he said he was very interested in that.”
While the appointment of Cortis did garner a majority vote with Vicites and Lohr supporting the action, Vanderbilt resident Jerrie Mazza criticized the move, stating that the addition of Cortis did not improve the image of the county agency.
“That airport has become a private playground for a few, dare I say rich, airplane owners,” said Mazza. “They have parties and they have this and that out there.
“They have a former commissioner out there running that place and he only wants people on that board that will do his bidding. That’s why Mr. Lilley was thrown off the board — he wouldn’t do the bidding of the king out there.
“We don’t need those kind of people. They should all be thrown off that board, and new people put on, even if they don’t know anything about aviation.
“It’s a disgrace. You will never have control of those boards with people like that on those boards.”
Zimmerlink, meanwhile, questioned the number of board members that were tenants at the airport, noting that they control lease terms and costs.
According to authority records, Joseph Maher, board vice-chairman, has a lease agreement with the airport. Cortis, too, is a leasee.
Board members Bill Gerke, Philip Holt and John Cofchin do not have a hangar or office lease with the airport.
In related appointment action, commissioners named John Cole as an alternate to the county zoning hearing board and accepted the resignation of Ed Jeffreys and Pete Hook from the county planning commission board.
Vicites said that several vacancies do exist on certain boards, including the FACT, Children and Youth Services and planning commission.
Anyone interested in serving on those boards should contact the commission office.