Grants & Funding Programs Payment in Lieu of Taxes (PILT) Payment in Lieu of Taxes (PILT) Funding for 2023 1/5/2023: On December 29, 2022 the President signed the Consolidated Appropriations Act, 2023 (P.L. 117-328) which appropriated full funding for PILT. Currently, the Department is in the process of collecting and validating the data necessary to calculate payments scheduled to be made by the end of June 2023. To prepare for payments, local governments should ensure their System of Award Management (SAM) account is active and banking information is up to date. More information from DOI on the PILT program can be found at https://www.doi.gov/pilt PILT Overview, Statutes and Regulations PILT Status Report USDOI PILT Website PILT Annual Report The federal Payment in Lieu of Taxes (PILT) Program provides payments to local governments that contain certain federally-owned lands known as "entitlement lands". PILT payments are intended to help offset losses in property taxes due to nontaxable federal lands within municipal boundaries. The U.S. Department of Interior administers PILT payments to boroughs, and DCRA administers federal PILT payments to cities within the unorganized borough. To receive funding, an eligible municipality must submit an application form to the department that requests the distribution and verifies the municipality meets all eligibility requirements. Distributions under the Payment in Lieu of Taxes Program are made beginning in July of each fiscal year or within 30 days of receipt of funds from the federal government. Please Note: The state regulations for the PILT program have been changed. With those changes come a number of requirements that have been removed from the application process. It is no longer required for an eligible city to submit a budget, an audit (or Certified Financial Statement), or a resolution to apply for the program. All that is required is to send the verification form with correct and current information to the Division. Verification Form: FY24 PILT Verification Form For more information about the Payment in Lieu of Taxes program contact: Department of Commerce, Community, and Economic Development Division of Community and Regional Affairs 455 3rd Avenue, Suite 140 Fairbanks, AK 99701 Phone: 907-451-2731 Fax: 907-451-2742 Email: caa@alaska.gov Revised 03/13/2023