From the Battle Creek Inquirer:
ATHENS — Athens Township’s attorney said the township has no means to collect back taxes from the local Potawatomi.
The Nottawaseppi Huron Band of Potawatomi’s Pine Creek Reservation in Athens Township was federally entrusted in summer 2008, making it untaxable land. But that came after it was assessed for 2008, so the tribe was billed for those taxes.
The tribe didn’t pay, saying it didn’t owe as a federally recognized tribe. The unpaid 2008 taxes are part of a pending Michigan Tax Tribunal case: The Potawatomi also has asked that taxes it paid from 2004 to 2007 be returned.
At the township board meeting Tuesday, Assessor Marcia Bails read a letter from Jim Norlander, township counsel. It said even though the property was assessable for 2008, Pine Creek now is federal property and can’t be foreclosed upon.
“Basically, that means if the tribe does not pay their property taxes
, there’s not much we can do to collect,” Bails said.
Treasurer Michael Irons said the tribe owes about $113,000 for 2008. It paid more than $90,000 in taxes from 2004 to 2007, he said.
In an e-mailed statement, the Tribal Council said it couldn’t comment on the letter because it hadn’t read it. In the e-mail, council Chairwoman Laura Spurr said the tribe would be committed to paying any taxes the tribunal says are due when the it makes its decision.
Tuesday’s news came in the midst of township-tribe negotiations on how the Potawatomi will pay for township fire and emergency medical services, normally paid for with taxes.
Township Supervisor Stephen Irons said he’d met Tuesday with the tribe and an agreement is in the works.
The tribe had first pitched a flat annual rate; the township wants the tribe’s fees to reflect what it would pay in taxes, which could fluctuate year to year. For 2008, the tribe would pay about $6,200, Michael Irons said.
In the meantime, Stephen Irons said agreement or no, the township will respond to emergencies at Pine Creek.
“Somebody better respond or they’re going to get their butts chewed,” he said.