Local News
Rock Creek Road tax bill being paid
Gable wants lease payment
WHITLEY CITY — The controversy of Rock Creek Road became more complicated last week as county officials continue to work on its status as a county road.
Last week, The Mc-Creary County Record re-ported that, for the first time in over 50 years, Stearns Company CEO Robert “Bob” Gable had received a property tax bill on the eight-mile stretch of road connecting White Oak Junction to Bell Farm.
On Tuesday, County Attorney Michele Wilson-Jones contacted The Record to explain that the tax bill had in fact been issued and paid at least dating back to 1997.
The property was assessed at $49,700 at that time, a figure which has not been changed. The 2008 tax bill comes to just over $400.
Gable recently contacted county officials regarding payment of the bill as the county currently leases the road for public use. He is seeking an amendment to the latest lease, dated November 2006, which would essentially call for the county to make a lease payment equal to the property tax bill.
McCreary County Judge-Execu-tive Blaine Phillips previously told The Record that county funds cannot be used to pay the bill. After meeting with PVA Bruce Lominac on Wednesday, the two agreed that the best course of action would be to file for an exemption with the Kentucky Department of Revenue.
“The PVA Office has advised the County Attorney to file to exempt the roadway for the remainder of the contract, being 2081,” Judge Phillips stated. “If the exemption is granted by the Department of Revenue…no tax bill will be issued concerning this roadway.”
Phillips was referring to a 1982 lease between the county and Dr. Frank Thomas which called for the agreement to be in effect for 99 years. Thomas deeded the property back to the Stearns Company in 1996. The latest lease does not include a 99-year clause, and both leases allow either party to terminate the contract with 30 days written notice.
Gable said yesterday that he is not sure that an exemption would be the best course of action as so much property in the county is already in government hands and exempt from taxes.
“It would seem to me that the local court could authorize Judge Phillips to amend the lease,” he said, noting that the road is the only property in McCreary County still owned by the Stearns Company.
Wilson-Jones told The Record yesterday that while the county could lease the road for a monetary figure, such an agreement should be carefully considered as should a decision to file for state exemption.
“The county is allowed to enter into business transactions but as a governmental entity, the county is held to a higher standard than a business,” she said. “I suggest that the PVA, County Judge, Mr. Gable and myself all sit down to figure out what is best for both parties.”
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