The City of Stoughton plans to sue the owner of two properties for $5,344 over land annexed in 2014.
The Common Council unanimously agreed at its Tuesday, Nov. 10, meeting to authorize a small claims lawsuit against Bud-Mar LLP and BeeandBee Investment Company LLP to recover money it owes the city to cover taxes lost by the Town of Rutland.
It’s the second time the city has authorized a small claims lawsuit toward the companies. The previous action, in 2019, was for a similar situation, according to the resolution, but finance director Jamin Friedl told the council that invoice was paid before the parties went to court.
“Similar to last year, this was kind of the poke and prod that we needed to get the money,” Friedl said.
State statute requires that when a city annexes a property, it must pay the taxes that would have been owed to that town for five years. Typically, cities require the property owner to reimburse the city.
Friedl said he hopes the issue is resolved before the city has to go to small claims court.
“We don’t want to do this, but we do need the permission to start sending notices to this individual,” he said.