CLEARFIELD – An issue with tax funds is being addressed in Clearfield Borough.
During an interview following Thursday’s Clearfield Borough Council work session, Solicitor F. Cortez Bell III and Borough Operations Manager Leslie Stott discussed an issue with the tax money, which had been paid to the borough instead of to Lawrence Township.
According to previously published GANT News articles, Keystone Collections Group had sent a letter to the Lawrence Township Supervisors regarding misdirected local services tax funds. The letter was discussed at the Dec. 5 supervisors’ meeting.
According to the article, the letter was to inform the township that LST funds from Appalachian Wood Products, totaling $23,695.22, were mistakenly sent to Clearfield Borough instead of the township by Keystone Collections.
According to the article, the letter said some of the money has been repaid to the township, but the borough has asked to be able to repay the rest of the money in payments.
At the Dec. 5 meeting, the supervisors passed a motion to request the borough pay the lump sum.
Following the borough council meeting, Stott said the oversight occurred when Appalachian Wood Products had miscoded their tax forms, which is why the LST money collected by Keystone Collections was given to the borough instead of the township. She said the mistake had gone unnoticed for about four years.
Stott said she noticed a problem when the LST money was less for 2016-17 than it had been in previous years. She said she had contacted Keystone Collections and discovered the mistake.
Bell said a portion of the money owed to the township has been paid out of the borough’s taxes for 2016-17 and the remaining money will be repaid out of the 2017-18 collections until the full amount is paid.
Bell said because the money is tax money, it must come through Keystone Collections. The borough cannot just pay the remaining funds directly to the township, as Keystone Collections needs documentation showing payment.