By THOMAS JENKINS
Staff Writer
Taxing entities in Howard County are breathing a collective sigh of relief, as Alon USA — the oil giant that owns the Big Spring Refinery — dropped its tax suit in 118th District Court, agreeing to pay taxes based on an assessment of $169 million.
The lawsuit, which was set to go to trial in January, would have tied up millions of dollars in tax funds for area entities, including Howard County, Howard College and Big Spring Independent School District. County Judge Mark Barr and county commissioners discussed the expected shortfalls that would have been caused by the tax funds being tied up in litigation during their budget sessions in September, and according to Barr, Friday's announcement has certainly improved the government agency's outlook. “On a short term basis, dropping the suit really doesn't have much of an effect on our budget,” said Barr. “The real shortfalls would have come next year, which was the timeframe we were really worried about. In a long term sense, this is very positive news for the county and other taxing agencies, however, so we're very pleased with the decision.” Barr said he and the commissioners court had planned on the shortfall during their budgetary planning, basing the tax funds they would have received on numbers from last year, when the tax suit did go to trial. “For the most part it's just business as usual for us,” said Barr. Officials with Big Spring Independent School District and Howard College both expressed relief that the the lawsuit has been dropped. “We appreciate Alon — they're our largest taxpayer — and they are 100 percent within their rights to contest the valuation if they believe its unfair, just like I or any other homeowner,” said Terry Hansen, executive vice president at Howard College. “Having said that, we're very pleased that this matter is being resolved, because it is harmful and hurtful for anything like this to be unresolved.” Also expressing relief was Sandra Waggoner, chief financial officer for Big Spring ISD. “This allows us to continue with the planning on our budget as is and it will allow us to finish the fiscal year without having to make major adjustments to the budget,” Waggoner said, adding that the district estimates it will receive almost $2 million in tax revenue from the refinery.
Staff Writer Steve Reagan contributed to this report.
Contact Staff Writer Thomas Jenkins at 263-7331 ext. 232 or by e-mail at
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