County ‘wipes out’ Poland tax revenue

The township is the only community where loss of a substantial lien was brought to the treasurer’s attention.

By DENISE DICK

VINDICATOR STAFF WRITER

POLAND — Nine years after the township paid about $17,000 to clean up a Struthers Road property, it’s dealing with a different kind of mess.

After the November 1998 cleanup of 120 junk vehicles from the property, the township assessed the clean-up cost against the owner’s property taxes.

A few months ago, though, township officials learned the township wouldn’t be getting that money back.

The Mahoning County Treasurer’s office sold the lien as part of a tax certificate sale.

Under state law, the county treasurer can sell the right to collect taxes on specific parcels to a private company.

The lien “was wiped out because of the sale of the certificate,” said Jim Scharville, township administrator.

The township is out that money.

“Had we known we were not going to get it paid, we would have taken a different approach,” Scharville said.

If the township had received the $17,000 back, the money likely would have been used as matching funds to secure grants such as those from the Ohio Public Works Commission, he said.

When the treasurer sells the tax lien, the lien may be sold for less than the full value of what is owed, according to a letter to township trustees sent by the Mahoning County prosecutor’s office.

“Unfortunately, when that occurs all of the taxes are not collected including any demolition or similar liens that might be on the property,” the letter said.

That’s what happened to Poland.

Township officials met with Lisa Antonini, Mahoning County treasurer, when they discovered the loss.

Antonini said property is bundled together for a tax certificate sale.

Those bundles may include parcels from different parts of the county and with different values.

A parcel is only tagged for the sale, though, after the owner receives multiple letters, bills and notices regarding their unpaid property taxes, she said. The treasurer said people who are delinquent in their property taxes have the opportunity to enter payment plans as well.

When a bundle is sold to an investment company, usually American Tax Funding LLC of Jupiter, Fla., the company can file for foreclosure after a year, Antonini said.

After the meeting with Poland, Antonini said she would exclude property from a tax certificate sale if a township has a demolition or similar lien on it.

The letter from the prosecutor’s office urged townships to review parcels upon which they have liens and provide a list to Antonini of those they want removed from the next tax certificate sale planned for late November.

Antonini said that Poland is the only community where the loss of a substantial lien has been brought to the attention of her office.

Benjamin Breniman, Boardman’s planning and zoning director, said a review by his office didn’t find any problems. “We’re right up to where we should be,” he said.

Michael B. Dockry, Austintown’s administrator, said the township mainly has liens for grass cutting but nothing of a large amount. If the township places a lien on a property for a large sum, officials will ensure that parcel is removed from tax certificate sales.

denise_dick@vindy.com