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Slic pays $690,933 to St. Lawrence County for back taxes, saving 12 properties from foreclosure

Posted 8/10/16

By JIMMY LAWTON NICHOLVILLE – Slic. Network Solutions has paid the county $690,933 toward back taxes, penalties and fees, saving at least 12 properties from tax foreclosure. “Slic Network …

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Slic pays $690,933 to St. Lawrence County for back taxes, saving 12 properties from foreclosure

Posted

By JIMMY LAWTON

NICHOLVILLE – Slic. Network Solutions has paid the county $690,933 toward back taxes, penalties and fees, saving at least 12 properties from tax foreclosure.

“Slic Network Solutions has made a significant payment of $690,993 to St. Lawrence County for taxes owed. With this payment we are pleased to have removed all potential issues of foreclosure on any of our properties. We are also working cooperatively with the county toward a payment plan for the current balance. We expect to have that agreement wrapped up very quickly,” the company’s president Phil Wagschal said.

Wagschal said Slic is working to dig out of its tax liability. The company fell behind during its massive project to install 800 miles of broadband cable in just a few years. Slic spent $33 million over the course of that time.

While it may be hard to understand how a company could fall so behind on taxes, Wagschal pointed out that while the company was building out fiber lines and facilities that have tax liability, no new income was being generated from the project.

“Doing rural broadband is challenging. You are taxed on facilities before they start generating revenue,” he said.

St. Lawrence County Treasurer Renee Cole said the payment provides a major relief for the county. She says roughly $173,000 will pay back taxes, interest and late fees on the 12 properties currently facing foreclosure, while the remainder will be held by the county as an agreement is reached with Slic.

“We are very pleased to have received today’s payments from SLIC and feel that this is definitely a positive step towards resolving the delinquent taxes owed. We look forward to a resolution to the remaining balance outstanding,” Cole said.

Cole said the county governments take the brunt of the damage when taxes aren’t paid.

“Something that I am not sure people consider with regards to delinquent property taxes is that the municipalities are already made whole on their taxes, it is the county left short for the cash,” she said. “So, while (the county) has paid the towns and villages and schools -- that is money out the door -- we are left waiting for the payment from the property holder. That is why it is so important for the county to remain diligent on tax enforcement,” she said.

For its part Slic intends to make the county whole as soon as possible.

“We certainly want to pay our fair share,” Wagschal said.

A similar agreement to catch up on taxes was reached with Franklin County. Slic made an $80,000 payment there toward its $160,000 tax liability.”

Slic and Nicvholville Telephone Company serve 4,829 customers in St. Lawrence County and employ 48 people in Nichoville.

While 48 jobs is nothing to shy away from, Wagschal says providing broadband internet to a rural location has wider reaching impacts on the economy.

He said broadband connects people who need access for employment, allowing them to live in the country, but still work for a place outside.

“I think how much broadband changes people’s lives can’t be underestimated,” he said.