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Grants & Funding Programs

Payment in Lieu of Taxes (PILT)

Important News

4/18/2024: On March 9, 2024, the President signed the Consolidated Appropriations Act, 2024 (P.L. 118-42) 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 2024. To prepare for payments, local governments should ensure their System of Award Management (SAM) account is active and banking information is up to date.

If you have not received the data call or have questions, please contact the PILT program manager at (202) 341-2066 or via e-mail at

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:

FY25 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

Revised 03/08/2024