With the House of Representatives already planning to look at the issue, a measure passed the Senate Thursday night that could result in more predictable Payments in Lieu of Taxes (PILT) for communities surrounding federal facilities, including many across the Energy Department complex.
The amendment to the Senate’s fiscal 2018 budget package was sponsored by a pair of New Mexico Democrats, Sens. Tom Udall and Martin Heinrich, and won approval in a 58-41 vote. The amendment would have the Senate fully and permanently fund the PILT program, which helps communities around federal facilities finance schools and infrastructure needs.
Close to 1,900 counties in 49 states receive PILT funding, according to a press release from Udall.
Congress currently doles out PILT funding via discretionary annual appropriations. “Last night’s vote was an important step forward that lays the groundwork for future congressional action to fully fund PILT in 2018 and beyond,” Udall said in the release.
The House of Representatives has called for a full overhaul of the PILT program in its fiscal 2018 Energy and Water Development Appropriations bill. House Appropriations energy and water subcommittee Chairman Mike Simpson (R-Idaho) has said that PILT payouts are not transparent, and are not interpreted consistently. The House bill also calls for a Comptroller General assessment of the PILT program.
Most of the communities near DOE’s major sites receive PILT money, according to the Energy Communities Alliance, which represents local governments and tribes around Cold War cleanup sites. ECA has said that it is not opposed to a fresh look at PILT policy, so long as current PILT agreements are not terminated before additional study is completed.
PILT provides federal money to local governments because of nontaxable federal land within their boundaries, such as DOE national laboratories.
