Inergy will get $7M property tax cut

SCHUYLER COUNTY—Schuyler County officials announced an agreement with Inergy Midstream to reduce the company’s property taxes by $7 million over three years.
Inergy had protested the assessed value of its Seneca Lake natural gas storage facility located in Watkins Glen. According to Legislative Chair Dennis Fagan, the taxing jurisdictions have agreed to an incremental reduction over a three year period that will result in local property tax payments in excess of $1.7 million per year by Inergy Midstream.
The local taxing authorities have agreed to an incremental reduction over a three year period to a final assessment of $22 million. Inergy had originally sought a reduction from the current assessed value of $29 million to $15 million. The agreement stipulates no refund of prior payments and will result in a $3 million reduction in 2013 followed by subsequent reductions of $2 million over each of the next two years.
Fagan explained “The real property tax system is predicated upon parity among all taxpayers. Our position from the onset was that we would vigorously defend any action that sought to unfairly shift the property tax burden. Through the course of our review of data associated with this action we are in agreement that a reduction is in order to maintain equity in assessments.”
Fagan also said, “This action helps to ensure the retention of our local workforce and recognizes the significant contribution to the community by one of our largest employers and taxpayers.” Inergy is in fact the largest taxpayer in Schuyler County according to real property tax records. “The revenue certainty from this settlement, and the potential future tax revenue expected from Inergy’s Finger Lakes LPG storage project, is invaluable at a time when our budgets are stretched,” said Fagan.