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Luzerne County’s real estate tax is primarily based on the assessment of land and structures, but a small portion also comes from what’s beneath the surface of some parcels, analysis of assessor records shows.
County officials started taxing mined coal, minerals and stone as part of the reassessment that took effect in 2009, saying it was an untapped revenue stream that would lessen the burden on homeowners.
The reassessment company advised at the time the plan was permissible under state law as long as the county focused on sites that received mining or extraction permits through the state Department of Environmental Protection.
Pennsylvania-based Resource Technologies Corporation calculated the assessments of the mined material, generally called “active minerals,” according to the county assessor’s office.
According to the county’s latest tax base reading from November, 67 active mineral operations are taxed in 30 municipalities.
The active minerals have a combined assessment of $14.8 million, which equates to $88,700 in revenue for the county and additional receipts for applicable school districts and municipalities. The county’s total tax base is $20.26 billion.
Beneficiaries
Topping the list is Hazle Township, which has eight active mineral operations totaling $4 million, generating about $3,000 for the township and $42,100 for the Hazleton Area School District.
Hazle Township Supervisor Chairman Jim Montone said a stone quarry and several coal mining operations are active in his municipality, where commercial trucks carrying coal and coal ash are still a common sight.
Foster Township, also in the county’s southern half, ranks second with four active mining parcels assessed at a combined $2.38 million.
The third highest total mining assessment — $2.03 million — is for three sites in Jenkins Township, records show.
Ten other municipalities, all townships, have active mineral operations valued at more than $100,000 for taxation purposes. These townships, along with the total assessments: Dorrance, $1.59 million; Lehman, $978,800; Newport, $803,400; Nescopeck, $778,100; Jackson, $484,900; Dennison, $447,700; Butler, $362,100; Salem, $245,100; Plains, $184,300; and Plymouth, $146,400.
The remaining municipalities with total mining assessments below $100,000, records show: Kingston Township, $91,300; Duryea, $66,600; Hazleton, $58,800; Laflin, $57,700; Slocum Township, $33,800; Lake Township, $26,000; Pittston, $19,000; Hunlock Township, $14,200; West Wyoming, $14,100; Nanticoke, $9,500; Pittston Township, $8,600; Exeter, $6,000; Wyoming, $5,000; Hollenback Township, $5,000; Black Creek Township, $3,100; Sugarloaf Township, $3,000; and Union Township, $1,800.
Notice required
Coal and quarry operators that run out of material or cease mining for other reasons must file a county assessment appeal if they want to stop being taxed, said county Assessment Director Anthony Alu.
The operators must show evidence their state mining permits have lapsed to receive removal, he noted.
Occasionally, the active mineral sites end up in tax claim because the operators have stopped mining but choose to walk away from paying taxes instead of seeking an assessment cancellation, he said. In these cases, the active minerals are removed from tax sales to prevent bidders from acquiring something that no longer exists, he said.