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Agreement made on lien

County disputes claim by state

Butler County has a verbal agreement to have a state lien against its property removed.

The state Department of Labor and Industry filed the lien April 14, citing $2,384 in unpaid interest on unemployment compensation reimbursement.

In a July 8 letter sent by county solicitor Mike English to the labor department, he states the county and state reached a verbal agreement in which the county would pay $1,384 to settle the alleged debt.

According to English’s letter, “The County of Butler does not believe the alleged amounts due are accurate and the Department of Labor and Industry has accepted some ownership of the problem. Accordingly, we have reached an amicable agreement to resolve the claim made against the County of Butler.”

English declined to comment on the issue.

“The letter speaks for itself,” he said.

The state also declined to comment.

“The department is unable to comment on the status of this lien or any agreement related to this lien at this time,” said department spokesman Dave Eckelmann.

The lien alleged the county owed seven interest payments between January 2014 and March 2015.

Unemployment compensation reimbursement bears interest at 1/12 of the annual rate determined by the secretary of revenue or 0.75 percent per month, whichever is greater, for each month from the due date through the payment date.

Before the verbal agreement was made, the state sent a July 5 letter to the county seeking $2,720.

According to the state’s letter, “The Office of Unemployment Compensation Tax Services (OUCTS) acknowledges, in January 2013, the county received written notice regarding the possibility of erroneously calculated interest charges and instructions indicating, until the issue was resolved, the county pay only the current benefit charges due until such time they receive verification notification from OUCTS that the interest charges were correct or corrected.”

However, the letter then stated that issue was resolved.

According to the letter, “You are hereby notified the audit of your account has been completed and the interest charges currently reflected on your account through the first quarter 2016 have been verified as accurate.”

The letter states the lien would be lifted if the $2,720 is paid within 30 days of July 5.

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