{ "id": "RL31392", "type": "CRS Report", "typeId": "REPORTS", "number": "RL31392", "active": true, "source": "EveryCRSReport.com, University of North Texas Libraries Government Documents Department", "versions": [ { "source": "EveryCRSReport.com", "id": 573806, "date": "2017-10-05", "retrieved": "2017-10-06T12:46:39.402498", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "Under federal law, local governments (usually counties) are compensated through various programs for reductions to their property tax bases due to the presence of most federally owned land. Federal lands cannot be taxed but may create a demand for services such as fire protection, police cooperation, or longer roads to skirt the federal property. Some compensation programs are run by a specific agency and apply only to that agency\u2019s land. This report addresses only the most widely applicable program, which is called Payments in Lieu of Taxes (PILT; 31 U.S.C. \u00a7\u00a76901-6907) and is administered by the Department of the Interior (DOI); in FY2016, there were 2,227 counties with lands eligible for PILT payments. Eligible lands consist of those in the National Park System (NPS), National Forest System (NFS), or Bureau of Land Management (BLM); certain lands in the National Wildlife Refuge System (NWRS); and several other specified federal lands. \nCongress has repeatedly debated the level of PILT funding. The authorized level of PILT payments is calculated using a complex formula. No precise dollar figure can be given in advance for each year\u2019s PILT authorized level. Five factors affect the calculation of a payment to a given county: (1) the number of acres eligible for PILT payments, (2) the county\u2019s population, (3) payments in prior years from other specified federal land payment programs, (4) state laws directing payments to a particular government purpose, and (5) the Consumer Price Index as calculated by the Bureau of Labor Statistics. If the appropriation for PILT funding is less than the full authorized amount, each county receives a prorated payment.\nBefore 2008, PILT was funded through the annual appropriations process. From FY2008 to FY2014, however, Congress approved mandatory spending for PILT at the full formula amount. The FY2015 PILT payment was funded through both discretionary and mandatory appropriations, and the FY2016 PILT payment and FY2017 PILT payment were each funded entirely through discretionary appropriations. In all three of those years, the appropriation for the PILT payment was less than the authorized full funding level, so each county received a prorated payment in those years. Most recently in FY2017, each county received a prorated amount (99.7%) of the full authorized amount. \nThe mechanism for PILT funding thus presents two fundamental options for Congress to consider: provide funding through the annual discretionary appropriations process or through mandatory spending for the full formula amount, whether indefinitely or for a specified period. Discretionary appropriations are constrained by procedural and statutory spending limits and are subject to annual fluctuations that may or may not result in PILT being fully funded. Among other potential impacts, annual appropriations could introduce uncertainty and unpredictability for the counties receiving PILT payments. Approval of mandatory spending for PILT at the full formula amount could ensure a consistent and predictable payment for those counties, at least through the duration of the authorization. However, the legislation still would be subject to certain budget rules that generally require such spending be offset. \nSince the creation of PILT in 1976, various other changes in the law have been proposed. One proposal has been to include additional lands under the PILT program, particularly Indian lands. Other lands also have been mentioned for inclusion, such as those of the National Aeronautics and Space Administration and the Departments of Defense and Homeland Security. Some counties would like to revisit the compensation formula to emphasize a payment rate more similar to property tax rates. Finally, some have argued that all lands in the NWRS should be eligible for PILT, rather than limiting PILT payments to lands reserved from the public domain while excluding acquired lands from PILT payments.", "type": "CRS Report", "typeId": "REPORTS", "active": true, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "http://www.crs.gov/Reports/RL31392", "sha1": "e2eb928b69dd23e5ddb34e0e0f96e0eb3b8e6c39", "filename": "files/20171005_RL31392_e2eb928b69dd23e5ddb34e0e0f96e0eb3b8e6c39.html", "images": { "/products/Getimages/?directory=RL/html/RL31392_files&id=/0.png": "files/20171005_RL31392_images_137a97a91dac7c59dc57da76ea3cfa34fdaff87a.png", "/products/Getimages/?directory=RL/html/RL31392_files&id=/4.png": "files/20171005_RL31392_images_5c6daf9d4b549cd1aeb1e33bb36823a3359edb65.png", "/products/Getimages/?directory=RL/html/RL31392_files&id=/1.png": "files/20171005_RL31392_images_a42d25c91a26ac97bd92d671d0663347b3d304c5.png", "/products/Getimages/?directory=RL/html/RL31392_files&id=/2.png": "files/20171005_RL31392_images_51edd8258a8349af5815042a1b0de5e53e1645df.png", "/products/Getimages/?directory=RL/html/RL31392_files&id=/3.png": "files/20171005_RL31392_images_270e2220b134324cc638084852c3a05157f44ba4.png" } }, { "format": "PDF", "encoding": null, "url": "http://www.crs.gov/Reports/pdf/RL31392", "sha1": "808c15204bc5dfa332eeadbc1164de3c84206296", "filename": "files/20171005_RL31392_808c15204bc5dfa332eeadbc1164de3c84206296.pdf", "images": {} } ], "topics": [ { "source": "IBCList", "id": 4773, "name": "Interior & Environment Appropriations" }, { "source": "IBCList", "id": 4841, "name": "Federal Land Management" } ] }, { "source": "EveryCRSReport.com", "id": 459096, "date": "2017-02-16", "retrieved": "2017-03-01T17:39:49.345213", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "Under federal law, local governments (usually counties) are compensated through various programs for reductions to their property tax bases due to the presence of most federally owned land. Federal lands cannot be taxed but may create a demand for services such as fire protection, police cooperation, or longer roads to skirt the federal property. Some compensation programs are run by a specific agency and apply only to that agency\u2019s land. This report addresses only the most widely applicable program, which is called Payments in Lieu of Taxes (PILT; 31 U.S.C. \u00a7\u00a76901-6907) and is administered by the Department of the Interior (DOI); in FY2016, there were 2,227 counties with lands eligible for PILT payments. Eligible lands consist of those in the National Park System (NPS), National Forest System (NFS), or Bureau of Land Management (BLM); certain lands in the National Wildlife Refuge System (NWRS); and several other specified federal lands. \nCongress has repeatedly debated the level of PILT funding. The authorized level of PILT payments is calculated using a complex formula. No precise dollar figure can be given in advance for each year\u2019s PILT authorized level. Five factors affect the calculation of a payment to a given county: (1) the number of acres eligible for PILT payments, (2) the county\u2019s population, (3) payments in prior years from other specified federal land payment programs, (4) state laws directing payments to a particular government purpose, and (5) the Consumer Price Index as calculated by the Bureau of Labor Statistics. If the appropriation for PILT funding is less than the full authorized amount, each county receives a prorated payment.\nBefore 2008, PILT was funded through the annual appropriations process. From FY2008 to FY2014, however, Congress approved mandatory spending for PILT at the full formula amount. The FY2015 PILT payment was funded through both discretionary and mandatory appropriations, and the FY2016 PILT payment was funded entirely through discretionary appropriations. In both FY2015 and FY2016, the appropriation for the PILT payment was less than the authorized full funding level, so each county received a prorated payment in those years. For FY2016, each county received a prorated amount (98.3%) of the full authorized amount. FY2017 payments are expected in early summer of 2017. Continuing resolutions have not yet specified FY2017 PILT funding.\nThe mechanism for PILT funding thus presents two fundamental options for Congress to consider: provide funding through the annual discretionary appropriations process or through mandatory spending for the full formula amount, whether indefinitely or for a specified period. Discretionary appropriations are constrained by procedural and statutory spending limits and are subject to annual fluctuations that may or may not result in PILT being fully funded. Among other potential impacts, annual appropriations could introduce uncertainty and unpredictability for the counties receiving PILT payments. Approval of mandatory spending for PILT at the full formula amount could ensure a consistent and predictable payment for those counties, at least through the duration of the authorization. However, the legislation still would be subject to certain budget rules that generally require such spending be offset. \nSince the creation of PILT in 1976, various other changes in the law have been proposed. One proposal has been to include additional lands under the PILT program, particularly Indian lands. Other lands also have been mentioned for inclusion, such as those of the National Aeronautics and Space Administration and the Departments of Defense and Homeland Security. Some counties would like to revisit the compensation formula to emphasize a payment rate more similar to property tax rates. Finally, some have argued that all lands in the NWRS should be eligible for PILT, rather than limiting PILT payments to lands reserved from the public domain while excluding acquired lands from PILT payments.", "type": "CRS Report", "typeId": "REPORTS", "active": true, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "http://www.crs.gov/Reports/RL31392", "sha1": "b3d9ce52146d0eed173b928512ef4525e8015ffd", "filename": "files/20170216_RL31392_b3d9ce52146d0eed173b928512ef4525e8015ffd.html", "images": null }, { "format": "PDF", "encoding": null, "url": "http://www.crs.gov/Reports/pdf/RL31392", "sha1": "0bc18141838eb883553b56043581015ff12275ab", "filename": "files/20170216_RL31392_0bc18141838eb883553b56043581015ff12275ab.pdf", "images": null } ], "topics": [ { "source": "IBCList", "id": 4773, "name": "Interior & Environment Appropriations" }, { "source": "IBCList", "id": 4841, "name": "Federal Land Management" } ] }, { "source": "EveryCRSReport.com", "id": 448362, "date": "2015-12-28", "retrieved": "2016-04-06T17:38:33.624200", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "Under federal law, local governments (usually counties) are compensated through various programs for reductions to their property tax bases due to the presence of most federally owned land. Federal lands cannot be taxed but may create a demand for services such as fire protection, police cooperation, or longer roads to skirt the federal property. Some compensation programs are run by a specific agency and apply only to that agency\u2019s land. This report addresses only the most widely applicable program, which is called Payments in Lieu of Taxes (PILT; 31 U.S.C. \u00a7\u00a76901-6907) and is administered by the Department of the Interior (DOI). Under the statute, eligible lands consist of those in the National Park System (NPS), National Forest System (NFS), or Bureau of Land Management (BLM); lands in the National Wildlife Refuge System (NWRS) if they are withdrawn from the public domain; lands dedicated to the use of federal water resources development projects; dredge disposal areas under the jurisdiction of the U.S. Army Corps of Engineers; lands located in the vicinity of Purgatory River Canyon and Pi\u00f1on Canyon, Colorado, that were acquired after December 31, 1981, to expand the Fort Carson military reservation; lands on which are located semi-active or inactive Army installations used for mobilization and for reserve component training; and certain lands acquired by DOI or the Department of Agriculture under the Southern Nevada Public Land Management Act (P.L. 105-263). \nThe authorized level of PILT payments is calculated using a complex formula. No precise dollar figure can be given in advance for each year\u2019s PILT authorized level. Five factors affect the calculation of a payment to a given county: (1) the number of acres eligible for PILT payments, (2) the county\u2019s population, (3) payments in prior years from other specified federal land payment programs, (4) state laws directing payments to a particular government purpose, and (5) the Consumer Price Index as calculated by the Bureau of Labor Statistics. \nBefore 2008, annual appropriations were necessary to fund PILT. However, beginning with the FY2008 payment and continuing through FY2012, a provision in the Emergency Economic Stabilization Act of 2008 (P.L. 110-343) for mandatory spending ensured that all counties would receive 100% of the authorized payment. The Moving Ahead for Progress in the 21st Century Act (P.L. 112-141) extended mandatory spending to FY2013, although there was a later sequestration of 5.1% for that year. PILT\u2019s mandatory spending was renewed for another year in the Agricultural Act of 2014 (P.L. 113-79), resulting in an FY2014 payment of $436.9 million. \nFor FY2016, P.L. 114-113 provides $452 million for PILT. The formula to calculate the exact authorized amount cannot be used until background data are provided by federal agencies in spring 2016, but the amount that is provided is likely to be near full funding.\nFor FY2015, Congress approved $372 million in discretionary funding for PILT in the Consolidated and Further Continuing Appropriations Act, 2015 (P.L. 113-235) and $33 million in mandatory spending in the Carl Levin and Howard P. \u201cBuck\u201d McKeon National Defense Authorization Act for Fiscal Year 2015 (P.L. 113-291). The latter measure also included another $37 million in mandatory spending to be made available on October 1, 2015\u2014the start of FY2016; this figure was subject to sequestration of 6.8%, reducing the amount to $34.5 million. The resulting total of $439.5 million provided 97.3% of the $451.5 million that would be required for full funding. \nOver the next few years, the broader debate for Congress might be summarized as four decisions. Congress may decide whether to (1) approve PILT funding through future extensions of mandatory spending (either temporary or permanent); (2) fund PILT through annual appropriations bills; (3) provide full funding or reduce the payments, perhaps through the annual appropriations process or by changing the PILT formula; and (4) add or subtract any lands to the list of those now eligible for PILT payments. \nSince the creation of PILT in 1976, various other changes in the law have been proposed. One proposal has been to include additional lands under the PILT program, particularly Indian lands. Other lands also have been mentioned for inclusion, such as those of the National Aeronautics and Space Administration and the Departments of Defense and Homeland Security. Some counties would like to revisit the compensation formula to emphasize a payment rate more similar to property tax rates. Finally, some have argued that all lands in the NWRS should be eligible for PILT, rather than limiting PILT payments to lands reserved from the public domain while excluding acquired lands from PILT payments.", "type": "CRS Report", "typeId": "REPORTS", "active": true, "formats": [ { "format": "HTML", "encoding": "utf-8", "url": "http://www.crs.gov/Reports/RL31392", "sha1": "b73bcb00916a0d1daa9ec2ef28b0495bbba06d22", "filename": "files/20151228_RL31392_b73bcb00916a0d1daa9ec2ef28b0495bbba06d22.html", "images": null }, { "format": "PDF", "encoding": null, "url": "http://www.crs.gov/Reports/pdf/RL31392", "sha1": "0dc6a68f26620f8d8e1e956b8a446661c36a4512", "filename": "files/20151228_RL31392_0dc6a68f26620f8d8e1e956b8a446661c36a4512.pdf", "images": null } ], "topics": [ { "source": "IBCList", "id": 2346, "name": "Interior, Environment, and Related Agencies' Appropriations" }, { "source": "IBCList", "id": 314, "name": "Federal Lands" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc743442/", "id": "RL31392_2015Jul27", "date": "2015-07-27", "retrieved": "2015-10-20T21:35:54", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "This report explains Payments in Lieu of Taxes (PILT), with an analysis of the five major factors affecting the calculation of a payment to a given county. It also describes the effects of recent legislative changes to PILT.", "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20150727_RL31392_d89e9d900618d8f615d592f6733ac8f85698f7a4.pdf" }, { "format": "HTML", "filename": "files/20150727_RL31392_d89e9d900618d8f615d592f6733ac8f85698f7a4.html" } ], "topics": [ { "source": "LIV", "id": "State and local government", "name": "State and local government" }, { "source": "LIV", "id": "Payments in lieu of taxes", "name": "Payments in lieu of taxes" }, { "source": "LIV", "id": "Taxation", "name": "Taxation" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc491173/", "id": "RL31392_2014Dec10", "date": "2014-12-10", "retrieved": "2015-01-27T19:40:46", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "This report explains Payments in Lieu of Taxes (PILT), with an analysis of the five major factors affecting the calculation of a payment to a given county. It also describes the effects of recent legislative changes to PILT.", "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20141210_RL31392_84d53764ee314451376fd632bad757d409b5b3d8.pdf" }, { "format": "HTML", "filename": "files/20141210_RL31392_84d53764ee314451376fd632bad757d409b5b3d8.html" } ], "topics": [ { "source": "LIV", "id": "State and local government", "name": "State and local government" }, { "source": "LIV", "id": "Payments in lieu of taxes", "name": "Payments in lieu of taxes" }, { "source": "LIV", "id": "Taxation", "name": "Taxation" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc282317/", "id": "RL31392_2014Feb20", "date": "2014-02-20", "retrieved": "2014-04-02T19:38:14", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "This report explains Payments in Lieu of Taxes (PILT), with an analysis of the five major factors affecting the calculation of a payment to a given county. It also describes the effects of certain legislative changes to PILT in 2009 and 2012.", "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20140220_RL31392_5ec4e68bd8bdf14fd1bdd98ea504ba3efba715db.pdf" }, { "format": "HTML", "filename": "files/20140220_RL31392_5ec4e68bd8bdf14fd1bdd98ea504ba3efba715db.html" } ], "topics": [ { "source": "LIV", "id": "State and local government", "name": "State and local government" }, { "source": "LIV", "id": "Payments in lieu of taxes", "name": "Payments in lieu of taxes" }, { "source": "LIV", "id": "Taxation", "name": "Taxation" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc267812/", "id": "RL31392_2013Nov07", "date": "2013-11-07", "retrieved": "2013-12-03T12:16:12", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": "This report explains Payments in Lieu of Taxes (PILT) payments, with an analysis of the five major factors affecting the calculation of a payment to a given county. It also describes the effects of certain legislative changes in PILT in 2009 and 2012.", "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20131107_RL31392_2a2f7785ddeffb0e17fdec8acc1e9be8c15d9605.pdf" }, { "format": "HTML", "filename": "files/20131107_RL31392_2a2f7785ddeffb0e17fdec8acc1e9be8c15d9605.html" } ], "topics": [ { "source": "LIV", "id": "State and local government", "name": "State and local government" }, { "source": "LIV", "id": "Payments in lieu of taxes", "name": "Payments in lieu of taxes" }, { "source": "LIV", "id": "Taxation", "name": "Taxation" } ] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc815910/", "id": "RL31392_2012Jul25", "date": "2012-07-25", "retrieved": "2016-03-19T13:57:26", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": null, "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20120725_RL31392_030ee8f951a4837444dd0d71d73d472543a3bb6a.pdf" }, { "format": "HTML", "filename": "files/20120725_RL31392_030ee8f951a4837444dd0d71d73d472543a3bb6a.html" } ], "topics": [] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc813434/", "id": "RL31392_2010Oct28", "date": "2010-10-28", "retrieved": "2016-03-19T13:57:26", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": null, "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20101028_RL31392_e00ef48ecd2870ba7c5e37b633fca938ebe30551.pdf" }, { "format": "HTML", "filename": "files/20101028_RL31392_e00ef48ecd2870ba7c5e37b633fca938ebe30551.html" } ], "topics": [] }, { "source": "University of North Texas Libraries Government Documents Department", "sourceLink": "https://digital.library.unt.edu/ark:/67531/metadc818953/", "id": "RL31392_2008Dec19", "date": "2008-12-19", "retrieved": "2016-03-19T13:57:26", "title": "PILT (Payments in Lieu of Taxes): Somewhat Simplified", "summary": null, "type": "CRS Report", "typeId": "REPORT", "active": false, "formats": [ { "format": "PDF", "filename": "files/20081219_RL31392_26b05c0b0663431eb0c9b344cbb7b5f8dbbca7e3.pdf" }, { "format": "HTML", "filename": "files/20081219_RL31392_26b05c0b0663431eb0c9b344cbb7b5f8dbbca7e3.html" } ], "topics": [] } ], "topics": [ "Appropriations", "Energy Policy", "National Defense" ] }