Continuing the Crook County News Since 1884

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County may have lost out on tax revenue from Madison Water Project

The possibility appears to exist that Crook County did not receive all the taxes it was owed for work performed on this side of the border during the Gillette Madison Water Project. The issue was brought to the attention of the county commissioners last week by County Treasurer Mary Kuhl, who was alerted to it by ex-mayor of Pine Haven Larry Suchor.

The specific tax revenue in question, said Kuhl, is the “use” portion of sales and use tax, which is related to the consumption or use of a taxable item on which no sales tax has been paid. The county receives a monthly report about this revenue, but it is not split out by industry.

Suchor informed Kuhl that he has looked at the contractors that worked on the project and determined that they appear to have marked down all associated tax items as related to Campbell County on the basis that the water project is marked down as a Gillette project.

However, there is a specific date on which each of the contractors reached the county line, Kuhl said. After that date, they were working on the Crook County side of the border.

Looking at these figures from the project engineers, Kuhl explained that it’s “pretty certain that Crook County had a deficit on what we should have received”.

“He said he could definitely tell there was a discrepancy in what we did receive and what we should have received over that period of time,” she told the commission.

Suchor, having worked in a similar industry, informed Kuhl that the state usually sends someone to create an audit at the end of a project to ensure that things are reported properly. Kuhl said he would like to meet with Gillette representatives to discuss the issue and would like representatives from the county to accompany him in an official capacity.

“We are missing out on parts of that revenue and he wants it corrected,” Kuhl said, later adding, “He really wants the county to try to request that an audit happens with those contractors that were involved in that job.”

Suchor apparently feels that one of the contractors is from Wyoming and completed the paperwork properly, but several are not local and may not have done so.

Kuhl stated that she feels it is perfectly within the county’s rights to ask questions about how distribution occurred and check it was fair and went to the right jurisdiction. Her office has always gladly been transparent when asked similar questions, she said.

With the commission’s blessing, Kuhl will work on facilitating a meeting with Gillette officials to investigate the matter further.