FY2019-04 Authorizing The Manager To 'Opt In' To The Class Action Lawsuit Brought By Smith Currie & Hancock, LLP, Against The Federal Government To Collect The Underpaid PILT Amounts For The Fiscal Years 2015-20171
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Introduced by: Borough Manager
Drafted by: Finance Director
Introduced on: 07/19/2018
Adopted on: 07/19/2018
KODIAK ISLAND BOROUGH
RESOLUTION NO. FY2019-04
A RESOLUTION OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH AUTHORIZING
THE MANAGER TO 'OPT IN' TO THE CLASS ACTION LAWSUIT BROUGHT BY SMITH,
CURRIE & HANCOCK, LLP, AGAINST THE FEDERAL GOVERNMENT TO COLLECT THE
UNDERPAID PILT AMOUNTS FOR THE FISCAL YEARS 2015-2017
WHEREAS, in 2008, Congress significantly amended the Payment In Lieu of Taxes (PILT)
statute by mandating full funding through fiscal year 2014 and removing language that limited the
federal government's payment obligation to the amounts appropriated by Congress; and
WHEREAS, Congress has never reinserted or reinstated that language that limited the federal
government's payment obligation to the amounts appropriated by Congress; and
WHEREAS, in fiscal years 2015-2017, due to insufficient appropriations, PILT recipients did not
receive the full amount to which they were entitled under the PILT statute, based on the U.S.
Department of the Interior's full payment calculation; and
WHEREAS, Kane County, Utah filed a lawsuit in the U.S. Court of Federal Claims, seeking to
recover its own underpayments, and the underpayments of a class made up of all other PILT
recipients in those years. The Court ruled in Kane County's favor and certified the lawsuit as a
class action. The Court named Smith, Currie, Hancock, LLP, Kane County's lawyers, as Class
Counsel to represent all members of the class and ordered that an official Notice of these events
be sent to each underpaid PILT recipient; and
WHEREAS, the Borough has received the court-ordered notice which explains that in order to
participate in the class action lawsuit and collect the amounts due to underpaid PILT recipients,
a form 'opting into' the lawsuit must be completed and submitted. If the Borough does not submit
the form, they will not be included in the class action lawsuit, and will not receive what would be
their share of any monies recovered.
NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND
BOROUGH that the Borough Manager is authorized to complete and submit the form 'opting into'
the class-action lawsuit against the Federal Government to recover a portion of the underpaid
PILT monies owed to the Kodiak Island Borough under the PILT Statute.
Kodiak Island Borough, Alaska Resolution No. FY2019-04
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ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH
THIS NINETEENTH DAY OF JULY, 2018.
KODIAK ISLAND BOROUGH ATTEST:
Daniel A. Rohrer, Mayor Nova M. Javier, MMC, Plerk
VOTES:
Ayes: Skinner, Smiley, Symmons, Crow, Schroeder
Absent: Kavanaugh, Van Daele
Kodiak Island Borough, Alaska Resolution No. FY2019-04
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