309.2005
RESOLUTION AUTHORIZING SETTLEMENT OF PENDING
ARTICLE 7 REAL PROPERTY ASSESSMENT CASES
COMMENCED BY NIAGARA MOHAWK POWER CORPORATION
AND ITS SUCCESSORS
RESOLUTION NO.: 309, 2005
INTRODUCED BY: Mr. Tim Brewer
WHO MOVED ITS ADOPTION
SECONDED BY: Mr. John Strough
WHEREAS, Niagara Mohawk Power Corporation and its successors (collectively, Petitioners)
previously commenced Article 7 Real Property Assessment Review cases against the Town of
Queensbury concerning the Sherman Island power generating facilities for tax years 1994/95 through
2004/05 (Old Tax Map No. 148-1-2.1 for tax years 1994/95 through 2001/02 and New Tax Map No.
315-1-9.6 for tax years 2002/03 through 2004/05) and
WHEREAS, the cases for the 1994/95 through 2001/02 tax years have been taken through
trial, but no Judgment has yet been issued by the Court, and
WHEREAS, the Town Assessor and the Town Board have reviewed the cases and the
proposed settlement of themwith Town Counsel, and
WHEREAS, the Assessor and the Town Board have concluded that under the circumstances it
would be in the Town’s best interest to settle all pending cases on the terms negotiated rather than be
subject to a Judgment by the Court, and
WHEREAS, counsel for the Queensbury Union Free School District has advised that they will
recommend that the School Board approve the proposed settlement and such approval is anticipated,
NOW, THEREFORE, BE IT
RESOLVED, that the Queensbury Town Board hereby approves the settlement of the pending
Article 7 cases against the Town of Queensbury by Niagara Mohawk Power Corporation and its
successors for tax years 1994/95 through 2004/05 concerning the Sherman Island generating facilities
(Old Tax Map No. 148-1-2.1 for tax years 1994/95 through 2001/02 and New Tax Map No. 315-
1-9.6 for tax years 2002/03 through 2004/05) (the Property), as follows:
1.The Town shall pay as a refund to Petitioners the Town’s proportional share of the
sum of Two Million Dollars ($2,000,000.). The Town’s share of the Two Million Dollar refund
payment shall be in the same proportion that the Town’s overall tax rate (including any Town tax
rate as well as the tax rates appearing on the tax bills for the Property for fire protection, EMS,
library, water and any other services) bears to the combined rate for Town, County and School
taxes on the Property for the tax years at issue; and
2.If necessary to make the refund provided for in Paragraph 1, above, the assessed
values of the Property for the years at issue shall be revised to an amount or amounts which will
produce a tax refund totaling Two Million Dollars ($2,000,000), combined, from the Town,
County and School District.
3.The Town shall not initiate any condemnation proceedings with respect to the
Property or other parcels identified in Paragraph 5, below, from the date of this Resolution
through 2010. The Town shall not enter into any inter-municipal agreement with the Town of
Moreau to condemn the Property, nor shall the Town assign, transfer or delegate any of its
condemnation rights for the Property to any other entity or person during the same period. If the
Town breaches this provision, Petitioners may revive the litigation and seek refunds up to
petitioned amounts. The Town alone would be responsible to pay any refunds awarded by the
Court in excess of the Two Million Dollar combined refund provided for in Paragraph 1, above.
4.The full-value of the Property shall be fixed at Thirty-Two Million Seven Hundred
Fifty Thousand Dollars ($32,750,000) for assessment years 2005 through 2010 (six years). Full
value shall be subject to adjustment by the equalization rate, to a maximum of 100%, in
computing the assessment for each year from 2005 through 2010.
5.The full-value of seven other parcels belonging to Petitioners (the Additional Parcels)
shall be fixed for assessment years 2005 through 2010 (six years) at the following values:
Tax Map Nos. Full Value
309.18-1-48 $ 85,700
316.6-1-10 183,400
316.6-1-9 79,600
315-1-9.3 55,200
315-1-19 40,300
314-1-5 36,400
309.19-1-17 293,300
The above values shall be subject to adjustment by the equalization rate, to a maximum
of 100%, in computing the assessment for each year from 2005 through 2010.
6.The tax assessments on the Property and Additional Parcels for 2005 through 2010
may be changed only as allowed under the Real Property Tax Law and shall not be increased over
the full values set forth in Paragraphs 4 and 5, above, even if the Town conducts a Town-wide
revaluation or update of its assessment roll which would otherwise be effective for those
assessment years; and
BE IT FURTHER,
RESOLVED, that the Town Board authorizes and directs payment of any and all refunds
without interest upon the filing of a Stipulation of Settlement and Order signed by all parties and
the Supreme Court Judge presiding over these cases, and
BE IT FURTHER,
RESOLVED, that the Town Board further authorizes and directs the Town Supervisor, Town
Assessor and/or Town Counsel to execute settlement documents and take any additional steps
necessary to effectuate the proposed settlement in accordance with the terms of this Resolution, and
BE IT FURTHER,
RESOLVED, this Resolution is contingent upon the Queensbury Board of Education
approval.
th
Duly adopted this 20 day of June, 2005, by the following vote:
AYES : Mr. Stec, Mr. Boor, Mr. Strough, Mr. Brewer
NOES : None
ABSENT: Mr. Turner