Alliance Settlement Could Cost Renville County $195,000 20 Feb 14

Renville County, two school districts and five of its townships will need to refund an estimated $195,110 in taxes to the Alliance Pipeline if a proposed settlement is approved.

The West Central Tribune reports estimated taxes totaling $143,820 and collected for the Renville County portion of the pipeline but paid to the state of Minnesota would be repaid from the state, making the total estimated cost of the settlement $338,926 in Renville County.

The estimated losses for the BOLD and Buffalo Lake-Hector school districts are $40,027.30 and $10,702.67, respectively.

Townships affected by the settlement include Hector, Kingman, Martinsburg, Melville and Osceola.

The natural gas pipeline slices through 23.2 miles of Renville County. There is also a large compressor station located on the pipeline in the county, which increases the tax impact for the county and Kingman Township.

The Renville County Board of Commissioners will decide on Tuesday whether to approve the settlement, which was negotiated by the state with the company.

   Alliance Pipeline had filed lawsuits challenging the valuations placed on the pipeline in 13 Minnesota counties. Chippewa, Kandiyohi and Swift are among area counties in which the pipeline runs.

Under the settlement, the assessed valuation is being reduced by 9.25 percent in each of the last four years, according to Renville County Attorney David Torgelson.