The Butler School District won an appeal in its favor over the tax appraisal of the AK Steel property in Butler Township.

The appeal, filed in November 2014 by AK Steel, challenged the $2.9 million assessed value that the county put on AK’s 1,256.9 acres in Butler Township.

A first appeal is reviewed by a four-person appeals board, but a second appeal is heard by a board of arbitrators.

In the case of AK Steel’s second appeal, the assessed value was set at $2.1 million.

A third appeal is taken to the Court of Common Pleas as a civil matter in non-jury trial.

In this case, an appraiser hired by AK Steel, Paul Griffith, argued the assessed value should be significantly less, saying that more than 600 acres of that property had no value. However, the court rejected Griffith’s opinion, saying he did not accurately assess the land’s use and quality.

David King of Nicklas King McConahy in Cranberry Township was hired as the county and school district’s appraiser. David King argued for the $2.1 million assessed value, based on the size and quality of the land.

The court ruled that the property has an assessed value of $2.1 million for the district’s 2015-16 school year and $1.9 million for the 2016-17 school year, according to court documents filed March 9 and signed by Judge Michael S. Yeager.

Currently, the Butler School District’s property tax rate is 94.8 mills, meaning a $2.1 million assessment yields roughly $200,000 annually in property taxes. The company had been paying the school district about $275,000 on a $2.9 million assessment.

However, AK Steel is able to submit tax appeals for 2016 now, according to Chris Savage, director of the Butler County assessment office, but Savage is not sure if the company will appeal again.

“They can appeal every year if they want,” Savage said.

Tom King considered this ruling a win for the district, he said.

While a fourth appeal is possible for the 2015 tax assessment value, that appeal would go to the Commonwealth Court of Pennsylvania, but Savage has never had cases go that far, he said.

Other big-name tax appeals were settled previously with the district.

Clearview Mall appealed in November 2014, arguing to lower the assessed value of $6.5 million down to $5.3 million, according to court documents. The 19.6 acres was purchased for $27 million and has a current market value of $38 million. The final assessment, issued June 23, 2015, was $4.3 million, meaning the district will receive $407,640 annually in property taxes. Under the previous assessed value of $6.5 million, the school district was getting $616,200.

Part of that settlement included a stipulation that the mall cannot file another assessment appeal for the 2016 and 2017 tax years.

The district also faced appeals from Home Depot, Lowe’s, Target, Kohl’s and Bear Metallurgical, but this is fairly routine, Savage said.

“About every 10 years, we get a massive flow of (tax assessment appeals),” he said.

Home Depot settled on an assessment of $752,400, and the company cannot appeal for 2016 and 2017 tax years. Lowe’s is assessed at $912,000, and the company cannot appeal through the 2020 tax year.

Target is assessed at about $1 million, Kohl’s at $792,300 and Bear Metallurgial at $133,900, all done in settlements outside of court, according to Savage.

The board also recently approved three more settlements, with Wise Business Forms, Kriess Road Limited and William P Deemer & Associates. That approval, during Monday night’s board meeting, is considered a total loss of about $18,000 in property tax revenue annually, according to board solicitor Tom King.

For a tax assessment settlement, the county and municipality in which the property sits would have to join the school district in approving the settlement

The county commissioners are expected to vote on these three settlements Thursday, said county solicitor Mike English.

Butler Township solicitor Larry Lutz is looking into the township’s involvement with the appeal for William P Deemer & Associates.

Connoquenessing Township solicitor Andrew Menchyk said the township was not involved with the appeals for Wise Business Forms and Kriess Road Limited.

In addition to these settlements, the school district has tax appeals in the court system with the Senator Walter Lowrie House and Highland Apartments, both assigned to Judge Marilyn Horan.

In the Highland case, the school board filed an appeal Nov. 2, 2015, because a revised assessment was seen as lower than comparable properties in the same neighborhood and taxing district.

A letter from Savage, dated Oct. 2, 2015, listed the revised assessment of the Highland apartments at $689,000, reduced from the previous assessment at $1.1 million.

An assessment appeal hearing is scheduled at 10:30 a.m. on April 5 at the courthouse.