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Huntington plans to announce LIPA lawsuit

Huntington Town Supervisor Frank P. Petrone, right, and

Huntington Town Supervisor Frank P. Petrone, right, and Councilman Mark Cuthbertson hold a news conference to announce efforts to fight the Long Island Power Authority's challenge of the assessment on the Northport Power Plant in Northport. (Jan. 5, 2011) Credit: Joel Cairo

Huntington Town officials plan to hold a press conference Tuesday to announce details of a lawsuit the town is filing against the Long Island Power Authority and National Grid.

Town officials want LIPA to adhere to the terms of a 1997 agreement in which LIPA said it would not challenge the property assessment on the authority’s Northport power plant.

Seven months ago, LIPA filed suit seeking to reduce the assessment, a move that if successful would lower the authority’s taxes and, as a result, affect the taxes on all properties in the town and the Northport-East Northport School District.

The suit, filed in State Supreme Court Oct. 15 against the towns of Huntington and Brookhaven, where the authority also has a power plant in Port Jefferson, contends the plants are incorrectly assessed.

Town officials plan to release details of the 1997 agreement in which LIPA took over the sale and delivery of electricity from the Northport plant from the Long Island Lighting Co., or LILCO.

As part of that arrangement, LIPA agreed not to challenge the assessment on the plant unless the assessment was increased out of proportion to capital improvements, said town officials, who added that the assessment has never been increased.

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