Lawsuit against Harrietstown dismissed

By HEATHER SACKETT, For the Enterprise
SARANAC LAKE — A state Supreme Court judge has dismissed an Article 78 lawsuit against the town of Harrietstown and others for what some called unfair property tax assessments.

State Supreme Court Judge David Demarest cited a lapsed statute of limitations as he handed down the order Wednesday, May 7 that granted the town’s motion to dismiss the lawsuit.

Because the essence of the 2007 complaints brought by the petitioners was the methodology used in the 2006 revaluation, the statute of limitations has already passed on that argument. The petitioners voluntarily withdrew their 2006 lawsuit to file the new one in 2007.

“An article 78 proceeding challenging the entire assessment roll must have been brought within four months of its completion, and indeed such a challenge was timely made. Having abandoned that challenge, a review of the procedures used in reassessing all of the Town’s parcels in 2006 has been lost,” Demarest wrote in his ruling.

He added that if a challenge to a revaluation is allowed in each succeeding year after the revaluation, a municipality might have to roll back its tax levy for many years, raising havoc with the municipality’s budgeting process.

Brought against the town of Harrietstown, the village of Saranac Lake, Franklin County, now-retired Harrietstown assessor Sandy Aery and the Saranac Lake Central School District, the lawsuit was originally filed in October of 2006 with 32 petitioners and five claims. It was then amended to include 99 petitioners and lists of what they said were errors in the 2006 property revaluation. Demarest dismissed this petition in July 2007. The petitioners withdrew their argument and refiled in October 2007, this time with 111 petitioners.

They claimed that Aery assessed lands owned by the state at a lower percentage of value than the percentage of value for privately owned land having the same characteristics, that there were inaccuracies in the property inventories, and that the selective assessments of waterfront properties at a higher percentage of value was arbitrary and against the law.

The petitioners sought to void the 2007 assessment roll, conduct a revaluation of all parcels in Harrietstown, and refund any excess taxes paid retroactively through 2006 if the revaluation results in the reduction of the assessment of any petitioners’ property. In February, Demarest heard arguments from both sides but said he needed more time to make his decision, which he finally issued last week.

“I think it’s great news for the town,” said town Supervisor Larry Miller. “I’m just glad it’s all over. We are ready to move forward, and we are ready to move on.”

Miller added that he has been getting positive feedback about the town’s new assessor, Doug Tichenor.

“The town is doing its best to keep it honest and open, and I’m hoping that the people of Harrietstown can see that the assessing process is very transparent.”

According to Miller, the town has spent about $116,000, not including James Maher’s yearly stipend of $15,000 as town attorney, to defend the Article 78 lawsuit.

“I am hopeful that rather than filing a third appeal, the petitioners will discontinue the pending appeals and put the saga of these Article 78 challenges behind us for the good of all the other residents and taxpayers of the town who are not involved in the litigation but are paying for the defense of that litigation through their taxes,” Maher said in a prepared statement.

But Robert Beebe, a lawyer for the petitioners, said the case is far from over. He said his side is planning to appeal Demarest’s ruling.

“We are disappointed with the decision ... and we don’t agree with it,” he said. “We have an appellate process that is available for this kind of situation, and we expect to take advantage of it.”

Beebe added that the petitioners also appealed Demarest’s ruling not to allow the five-inch thick amendment to the original petition, dismissed in July 2007. Beebe expects the court to hear that case in September.

Once they are informed that the decision has been filed with the Franklin County clerk’s office, the petitioners will have 30 days to file a notice of appeal.



Contact Heather Sackett at 523-4401 or hsackett@lakeplacidnews.com.