Superintendent warns LIPA litigation could affect local tax rolls; district to coordinate with town assessor

During the June 2 meeting the superintendent told the Kings Park Central School District board that litigation involving the Long Island Power Authority (LIPA) and certain towns may result in removal of properties from local tax rolls, a development that could affect the district’s tax levy.

What was reported: The superintendent said towns including Babylon, Brookhaven, Huntington, Islip and Smithtown are involved in negotiations or litigation over whether some properties will be removed from the tax roll. The district has engaged legal counsel and is seeking information from the Town of Smithtown to assess how and when the litigation could affect district revenue and levy calculations.

Why it matters: If properties are removed from the tax roll, taxable assessed value could decline, which may change the tax levy allocation among remaining taxpayers or require adjustments in district budgeting and cash-flow planning. The superintendent emphasized the district is monitoring the matter closely and will report back once town-level assessments and negotiations are clearer.

Record of action: The board received the report; no directive or formal vote was recorded on litigation strategy. The superintendent said the district is trying to schedule a meeting with Town of Smithtown officials and will keep the board informed of developments.

Next steps: District legal counsel and the superintendent will continue to monitor the litigation and coordinate with town officials and the district’s assessor liaison. Any material financial implications will be reported to the board for consideration in future budget and fiscal planning.