Ruehl v. County of Bucks

26 Pa. D. & C.3d 264, 1983 Pa. Dist. & Cnty. Dec. LEXIS 364
CourtPennsylvania Court of Common Pleas, Bucks County
DecidedJanuary 13, 1983
Docketno. 77-1147-05-6
StatusPublished

This text of 26 Pa. D. & C.3d 264 (Ruehl v. County of Bucks) is published on Counsel Stack Legal Research, covering Pennsylvania Court of Common Pleas, Bucks County primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ruehl v. County of Bucks, 26 Pa. D. & C.3d 264, 1983 Pa. Dist. & Cnty. Dec. LEXIS 364 (Pa. Super. Ct. 1983).

Opinion

GARB, J.,

This is an action for a declaratory judgment as in the nature of a class action. The class of plaintiffs consists of all property owners who covenanted with the county for favorable property assessments under and pursuant to the Act of January 13, 1966, P.L. 1292, as amended by the Act of October 26, 1972, P.L. 1030, 16 P.S. §11941 et seq., hereinafter referred to as Act 515, and then renegotiated those agreements under and pursuant to §10 of the Act of December 19, 1974, P.L. 973, 72 P.S. §5490.1 et seq., hereinafter referred to as Act 319. The controversy arose, apparently, when petitioners, who had previously covenanted with the county under Act 515, made application for preferential tax assessment under Act 319 and were required by the county solicitor to execute a certain document or agreement in order to effectuate the preferential assessment. Petitioners object to the particular document or agreement submitted by the county solicitor on the grounds that it allegedly misstates the application of the rollback provisions of Act 319 and further that the county solicitor is without power to impose any requirements whatsoever.

Although the issues are somewhat shadowy and the dispute amorphous, we believe, but not without some hesitation, after closely studying the plead[266]*266ings and briefs and then ordering the matter on oral argument sua sponte, that we understand the issues. We believe that the relief sought in this declaratory judgment action verges very close on an advisory opinion regarding matters not yet in dispute and which can, and probably more gracefully, be resolved in other legal postures. However, the relief afforded by an action in declaratory judgment has now been construed as not extraordinary in nature but rather as remedial intended to be liberally construed and administered for the purpose of settling uncertainty and insecurity with respect to rights, status and other legal relations. See Friestad v. Travelers Indemnity Co., 452 Pa. 417, 306 A. 2d 295 (1973). As such, but barely so, we believe that this dispute is appropriate for declaratory relief to the extent that we are able so to declare.

It is our perception that petitioners maintain that they qualify for preferential tax assessment under Act 319 and, therefore, are entitled to same, and as a result that their property must bear two separate assessments, one under Act 515 and another under Act 319. We believe that this contention is ill founded.

Petitioners argue strenuously that these two acts are not inconsistent or mutually exclusive. With that we agree. From that, however, petitioners make the quantum leap that once they have covenanted under Act 515 for a favorable tax assessment reflecting the fair market value of their land as restricted by the covenant, they maintain that assessment even though they opt to apply for and receive a preferential tax assessment under Act 319. Needless to say, these acts are not inconsistant or mutually exclusive in the sense that the same property could not qualify for both. In fact, by [267]*267definition, all of petitioners’ properties do qualify for both, or otherwise we would not be here.

The mere fact, however, that a piece of land can qualify under both acts for favorable tax assessment treatment, does not mean that the same piece of property may be assessed under both at the same time. Clearly, neither Act of Assembly so provides. Act 515 in 16P.S. §11943 provides that where application is made and the property qualifies the county shall covenant that the real property tax assessment for a period of five years will reflect the fair market value of the land as restricted by the covenant. Act 319 in sec. 3 provides that for general property tax purposes the value of the land which qualifies shall on the application of the owner and approval by the taxing authorities be that value which such land has for its particular use. Obviously, the purpose of each act is the same being to encourage the preservation of open spaces by favorable tax assessment for that purpose. Clearly Act 319 is more restrictive in nature and therefore, to a certain extent at least, further extends the policy of the law to preserve open space because by virtue of the greater restriction the more favorable tax assessment is secured. Obviously, it is the recognition of this additional benefit that caused petitioners herein to opt for the preferential assessment under Act 319 in spite of the fact that they had already covenanted under Act 515.

Quite obviously, the legislature in enacting Act 319 recognized and acknowledged the existence of Act 515 and made specific provision for the reassessment of properties so covenanted under Act 319. Section 10 of Act 319 provides in relevant part as follows:

, “Any county which has covenanted with land[268]*268owners of farm or forest land (under Act 515) may, at the landowner’s option, renegotiate such agreements so as to make them conform to the provisions of this act as to preferential assessments.” (Emphasis supplied.)

It is noteworthy that the legislature used the word “renegotiate.” A favorable assessment under Act 515 requires the entry of a covenant between the property owner and the county as in the nature of a contract. Contracts are arrived at as a result of negotiation between the contracting parties which really mean a series or a range of discussions resulting in a final meeting of the minds on the terms of the contract. See Com. v. Safe Harbor Water Power Corp., 458 Pa. 134, 328 A. 2d 833 (1974). A preferential assessment under Act 319 likewise requires an agreement between the taxpayer and the taxing authorities. Section 4 of the Act provides that the County Board of Assessment Appeals shall have the responsibility to accept and process “applications” for preferential assessments. Sub-section (d) provides that the “approved application” for preferential assessment shall be recorded by the County Board of Assessment Appeals in the Office of the Recorder of Deeds.

Section 9 provides that the owner of the property upon which a preferential assessment is “sought” shall have the right to appeal. These provisions clearly demonstrate the requirement of some form of agreement between the taxpayer and the taxing authority. Therefore, the use of the word renegotiate in §10 of Act 319 becomes somewhat clearer. It contemplates that a property owner who is a party to a covenant under Act 515 may, with the agreement of the county taxing authorities, convert the assessment resulting from the covenant under [269]*269Act 515 into a preferential assessment under Act 319 as a result of a new negotiating process between the parties. We believe that the tenor of Act 319 contemplates a conversion to a preferential assessment rather than a new assessment in addition to the one rendered as a result of the covenant under Act 515. If dual assessments were contemplated there would be no need to refer to the process as a “renegotiation” but rather to provide only that a taxpayer under covenant to the county under Act 515 may likewise secure a preferential tax assessment under Act 319. The concept of dual tax assessments on the same property is indeed a novel one and we know of no other instance in which such has been effected. Therefore, in order to find such a legislative intent we believe that it should be explicitly so stated.

Finally on this question, we believe that the rollback or penalty provisions of each act clearly militate against the concept of dual tax assessments.

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Related

Friestad v. Travelers Indemnity Co.
306 A.2d 295 (Supreme Court of Pennsylvania, 1973)
Commonwealth v. Safe Harbor Water Power Corp.
328 A.2d 833 (Supreme Court of Pennsylvania, 1974)

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Bluebook (online)
26 Pa. D. & C.3d 264, 1983 Pa. Dist. & Cnty. Dec. LEXIS 364, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ruehl-v-county-of-bucks-pactcomplbucks-1983.