County, schools to repay $800,000
Comp USA made a mistake that cost Shelby County and the Board of Education more than $800,000.
According to county finance director Butch Burbage, the company paid its taxes in Shelby County rather than to Jefferson County, the city of Hoover and the state of Alabama.
Burbage said the company pays a use tax in Shelby County and &uot;… somehow, it was changed in their computer and they ended up paying us the money that should have gone to Jefferson County, Hoover and the state.&uot;
Comp USA paid the county more than $818,500 over a 23-month period.
The funds were divided among the county, Shelby County schools and Hoover city schools.
The school board must repay more than $184,600 to the company, and Hoover city schools must repay more than $19,900.
The county must repay more than $613,900 to Comp USA.
Shelby County Schools Finance Director Jim Davis said having to pay back overpaid taxes is not unusual.
He said the funds will come from the school board’s reserve fund.
The county’s portion of the repayment will come from a reserve fund and the general fund