| Author | Message | ||
     doublea Citizen Username: Doublea Post Number: 362 Registered: 3-2003 |
Mark, Allan and Patrick: What's the best way to get some discussions going between the Village and Seton Hall regarding in lieu of payments for the main campus? Can a resolution be introduced authorizing the Village President or Village Administrator to enter into discussions with a view towards getting Seton Hall to make in lieu of payments for the main campus. I know the subject has been mentioned at BOT meetings and cerainly online, but perhaps we need some concrete resolution to move this forward. | ||
| mrosner Citizen Username: Mrosner Post Number: 792 Registered: 4-2002 |
A couple of years ago each of the trustees met with a representative from SHU to discuss. A formal letter was also sent to them. They gave a formal response which made their position very clear (they have no intention of making any kind of payment of taxes for property within the main campus as long as they have no legal oblication). What we should do and I will suggest doing again is passing a resolution requesting the state to change the law. There have been bills introduced which would specifically deal with this problem and making a contribution mandatory based on a percentage of tuition (1/2 of 1%). | ||
| doublea Citizen Username: Doublea Post Number: 363 Registered: 3-2003 |
Thanks. I think it was the athletic director of Seton Hall who appeared before the BOT this past Monday and in effect asked "where are my dugouts"?. The letter from Seton Hall that you refer to was a couple of years ago. Maybe the subject should be raised again, and perhaps a letter or opinion piece in the NR from an elected official explaining the economic hardship suffered by South Orange residents because of Seton Hall might raise the issue to a higher level. I've never placed much weight on something happening in Trenton. | ||
| peteglider Citizen Username: Peteglider Post Number: 355 Registered: 8-2002 |
The question is -- does anyone online have access to tools to document "voluntary" payments from universities (preferably in NJ and preferably religious - or alternately from other Catholic schools in the US) to municipalities? I tried a google search a while ago -- and came up with a mish mash that wasn't anywhere on target. Since SHU has no legal obligation, the question is, if there is evidence to show that other universities feel it is right/moral/etc. to make contributions -- could SHU be "agressively persuaded" (or shamed?!?) to do the same? I would think that a meeting with anyone at SHU other than the President or Board of Trustees would not be productive (it'll be the same line). But a presentation by the village, showing the financial impact of SHU on the the village, the contributions of the village (hard & soft), and THEN documenting payments (ummm, I mean contributions) by other schools might stand a chance. From their site -- they have 13 trustees - and its pretty cleric heavy (7 of 13). Those in business include Kurt Borowsky -- Chairman, Van Beuren Management Robert Baldini, Vice Chairman, Kos Pharmaceuticals Gerald Buccino, Pres, Buccino Foundation Joseph LaScala, Patner, McElroy, Deutsch, & Mulvaney Richard Liebler, Pres, Hillside Auto Mall Thomas Sharkey, Chairman, Fleet Insurance Advisors These would be the people to exert pressure on (I mean educate) about this issue -- and making SHU a good, responsible neighbor. But the reality is -- I doubt this effort would have a short term impact. The priority might be to get SHU to get their agreement in place regarding SOPAC -- to help close the potential financial sinkhole there. Pete | ||
| mrosner Citizen Username: Mrosner Post Number: 793 Registered: 4-2002 |
Pete: We have been working on trying to put together a caclulation to put together a presntation. Based on experience I do not think they can be shamed because they always come back with the argument that they have no legal obligation and they do not want to "burden" the students with addtional expenses. doublea: I think in the long run we are best served by continuing to pressure Trenton and not let up until the legislation is changed. | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 218 Registered: 12-2002 |
doublea, I think that your idea is a valid one and one that needs some guts. I would also propose that we consider a referendum or something like that on the next election ballot, to garner support from the SO taxpayers, which could then also be used to exert pressure on SHU. As Mark suggests, maybe we do need to try Trenton, but I'm also of the belief that this would probably be futile. I'll even go as far to say I would be willing to volunteer to help put the proposal together to try to see this to fruition, though I'll probably regret that later.  | ||
| mrosner Citizen Username: Mrosner Post Number: 795 Registered: 4-2002 |
doublea, VG: Just to clarify, I am not saying we only have to exert pressure in one place. In the long run, it is best if we work thru Trenton so that they are required to contribute annually and not just give us a one time donation. I will make sure some kind of financial analysis is sent to SHU. Pete: I did try finding out if any other schools make contributions in lieu of taxes. I have heard of instances where it is done, but I have yet to get any concrete evidence. | ||
| doublea Citizen Username: Doublea Post Number: 364 Registered: 3-2003 |
Mark: I was talking about an annual payment. Mark and Pete: I know for a fact that Monmouth University makes an annual in lieu of payment to West Long Branch. Of course, Monmouth is not a Catholic school. VG: Your proposal of a referendum on the issue is a real possibility and it probably should be pursued. I would like to see the BOT discuss the matter fully, and perhaps it can be put on the agenda. I think it's important to emphasize that this issue exists regardless of whether a school is a religious backed school or not. The financial burden to a community is the same. It may well be magnified in our community because of its size, the fact that we have a lot of expenses that would be found in an urban community, and the fact that Seton Hall does own 15% of the assessed property value in our town. | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 219 Registered: 12-2002 |
Also, for anyone interested, while reading a recent review on the new restaurant in town, Papillion, on the SO Blog site, I saw another intersting article about a similiar situation in New Haven, related to Yale. Obviously we are not alone on this issue, but I'm sure one that won't be easy to resolve. | ||
| mrosner Citizen Username: Mrosner Post Number: 796 Registered: 4-2002 |
doublea: I realize that but I would rather not have to rely on a negotiation every year. I would like to see it permanent and based on a formula. I have heard about several schools that make these kind of payments, but I have not been able to confirm in writing. I did not try Monmouth but will make the effort. | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 220 Registered: 12-2002 |
mark/doublea, check out this link, I may be incorrect, but it appears that Harvard makes payments to the community. http://www.news.harvard.edu/guide/lore/lore8.html | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 221 Registered: 12-2002 |
Here's another one, look towards bottom titles "Support to Municalipalities" http://impact.wustl.edu/economic.html | ||
| mrosner Citizen Username: Mrosner Post Number: 797 Registered: 4-2002 |
Good work VG. | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 222 Registered: 12-2002 |
Sorry, but here's another and this one's in NJ, Princeton. http://www.princeton.edu/pr/facts/profile/98/25-contrib.html Mark, Thanks. | ||
| jfburch Citizen Username: Jfburch Post Number: 1090 Registered: 6-2001 |
(Harvard and MIT both definitely make payments to Cambridge (and maybe Boston, I think, for Harvard) in lieu of taxes. I believe they are negotiated frequently.) | ||
| peteglider Citizen Username: Peteglider Post Number: 358 Registered: 8-2002 |
I don't think a referendum is wise -- it sends a message of being contentious -- rather than trying to work things out. Even if it passes with 100% voting in favor -- so what? That will not change the situation. (IMO) On the other hand -- with concrete info on SHU financials (endowment, etc), and stats from similar size Catholic schools on their contribitions -- AND an outreach program to the trustees -- there may be a chance at having some impact. Keep in mind that Princeton is not only fabulously well endowed, they own many square miles of Princeton, and have huge commercial developments (shopping centers, business parks, etc). Good to know about, but that will not sway SHU -- simply not even slighly comparable (btw, I am a Princeton grad (grad school), lived there for years afterwards). I wonder if this is further complicated since SHU appears to be a diocesan school in part, of Newark. I would imagine the diocese gives directly to SHU -- and that might be compromised given the current economy and issues with the RC church. I think Mark is right in the long term. In the short term -- does anyone know or have personal connections to any of the trustees? A number of them are pastors from this area -- perhaps someone attends their parishes? Or knows the business side guys? How much "off campus" property does SHU have? Is there a possibility the village could reclaim that for the tax rolls? Frustrating... Pete | ||
| vermontgolfer Citizen Username: Vermontgolfer Post Number: 223 Registered: 12-2002 |
Pete, The referendum concept was just that. Both you and Mark make a strong case against it, so maybe it's not a good idea, however it appears up to this point, being cooperative has not worked, so maybe we need to be contentious, I don't know, just my two cents. The fact remains, they suck off lots of resources and don't pay for those resources and IMHO, while it's nice to say SHU is in SO, does it make SO anymore a destination? We clearly need a plan of action in order to move this to the next logical steps, whatever they may be. Your question about connections to the board is good, hopefully some of the posters will have some contact, unfortuantely I do not. Agreed it's frustrating, but sure would be nice to get some additional tax revenue to ease the burden on the rest of us. I'll keep searching the web for other universities, particularly along the SHU target, but it's not an easy search. | ||
| J. Crohn Citizen Username: Jcrohn Post Number: 682 Registered: 3-2003 |
(Susquehanna Valley) November 6, 2003 By John Finnerty The Daily Item SELINSGROVE — Bor-ough officials are asking local entities that are not required to pay property taxes to kick in a donation equivalent to half of what they would pay if they did pay taxes. Those being targeted by the borough include Susquehanna University, the Selinsgrove Area School District, the American Legion and local churches. Borough manager John Bickhart said that just under half of the land in Selinsgrove is owned by tax-exempt organizations, which makes it unduly burdensome on the rest of the property owners. If all the tax-exempt organizations did contribute 50 percent of what they would otherwise be required to pay in real estate taxes, it would generate $153,000 for the borough, Bickhart said. These kind of "payment in lieu of taxes" agreements are fairly common in situations where a municipality has a large chunk of property occupied by a tax-exempt entity, Bickhart said. "The borough has serious (budget) problems," he said. "We need to look at new ways to generate revenue." Tax-exempt entities benefit from the borough’s services, so they should help pay for them, the borough manager said. These services include, maintaining the streets, plowing the streets and providing police protection. Bickhart said that in the school district’s case, during heavy snowfalls, clearing the school bus routes is second only to clearing a path for the trucks at the fire department on the borough crew’s priority list. All but one of the schools in the Selinsgrove Area School District are located within the borough limits. Jackson Penn Elementary is the exception. Borough officials question why Selinsgrove property owners should foot the entire bill to provide municipal services to a school district that serves residents in not only the borough, but eight other municipalities as well. The school district is the second largest tax-exempt property owner in Selinsgrove. The district owns property in the borough with an assessed value of just over $6 million. If the borough were collecting its 13 mills of property tax on that, it would generate $78,588 so the borough is asking for a $39,294 donation. Contacted Wednesday, Selinsgrove school Superintendent Frederick Johnson declined to comment because he said he had not received the borough’s request yet. Far and away the biggest tax-exempt property owner is Susquehanna University. Borough officials estimate the university property has an assessed value of $14.14 million. The owner of a property with that assessed value would typically be expected to pay $183,882 in real estate tax, so the borough is asking the university to make a $91,941 donation. Bickhart said the borough now receives an $18,000 payment in lieu of taxes from the university. Susquehanna annually releases an economic impact statement to show its benefits to the community greatly exceed that amount. The third largest tax-exempt property owner is Diakon Lutheran Social Ministries, which operates Penn Lutheran Village. The borough has assessed that property at $934,740, meaning its owner would typically pay $12,151 in real estate taxes, and the borough is asking for a $6,075 donation. Eight churches in the borough will receive letters from the municipality asking for donations. Several of the churches own property with substantial assessed value, according borough estimates. The Church of the Nazarene has property with an assessed value of $595,820. Sharon Lutheran Church’s property has an assessed value of $532,150. Wesley United Methodist Church has property with an assessed value of $407,830. Using its 50 percent standard, the municipality is asking the Church of the Nazarene to contribute $3,872, the Lutheran church to donate just under $3,459 and the Methodist church to donate $2,650. The five other churches all have property with much lower assessed values: St. Pius X Catholic Church, $280,360; St. Paul’s United Church of Christ, $130,660; Christ United Methodist Church, $91,300; All Saints Episcopal Church, $85,980; and Susquehanna Valley Brethren in Christ, $21,410. Selinsgrove is not making the request to other governmental bodies — the Commonwealth of Pennsylvania or Snyder County — that own land in the borough, or to organizations to which the borough makes donations. Organizations that Selinsgrove makes donations to include the Dauntless Hook & Ladder Fire Company and Selinsgrove Area Recreations Inc., which operates the community swimming pool. | ||
| J. Crohn Citizen Username: Jcrohn Post Number: 683 Registered: 3-2003 |
(The Daily Star, Oneonta, NY) Friday, June 6, 2003 Some area non-profits pay in lieu of taxes By Jack Mazurak Staff Writer ONEONTA — Commenting on a bill in the state Senate that may require not-for-profit organizations to pay taxes, several local organizations said they already give to the city. Oneonta Mayor Kim Muller said some city not-for-profits help the tax base either voluntarily or through payments-in-lieu-of-tax programs. "Catholic Charities does, Opportunities For Otsego does and all of them pay something to municipal costs for sewer and water fees," she said. City Chamberlain David Martindale said payment-in-lieu-of-tax, or PILOT programs, are contracts with not-for-profit organizations in which they agree to pay set amounts for use of city services. The bill's co-author, state Sen. John Bonacic, R-Mount Hope, said the bill is meant to help alleviate tax Advertisement burden on businesses and homeowners. But some not-for-profit organizations that don't have PILOT contracts said they still find ways to give back to the city. Patricia Kennedy, executive director of Upstate Homes for Children and Adults, said her tax-exempt organization doesn't make payments in lieu of taxes but supports the community in other ways. "We buy locally, we employ 550 people who spend their paychecks locally, and our $19 million budget is primarily spent in Otsego, Chenango and Delaware Counties," she said. She said if the state could reimburse Upstate Homes, they would gladly make payments. The 2003 city of Oneonta Assessor's Report lists 213 properties as exempt from taxation. Among others they include human-service organizations, municipal buildings, schools, health-care facilities, colleges and cemeteries. These properties together have a total assessed value of $327 million. Bonacic said even a small proportion of that value, if taxed, would bring in millions for city government. Under Bonacic's bill, each property claiming tax exemption would have to prove its land and facilities are used expressly for those purposes. He said property not being used, as determined by the local tax assessor, would be open to city taxes. City Assessor Mario Arevalo said, in light of the economic slump, spreading the tax burden to some exempted not-for-profit organizations would help. Muller said the bill should be looking at more than tax values. "It's an easy place to go and it's a double-edged sword," she said. "What's lost in conversation is the value of the service and its value to the community." She said organizations with the largest exempt assessments tend to be the area's largest employers. These, she said, include Opportunities For Otsego, Upstate Homes and the two colleges. Indeed, Hartwick College and the State University College at Oneonta have two of the city's highest assessed values at $58 million and $155 million respectively. Opportunities For Otsego Executive Director Cheri Albrecht said the OFO board pays up to 50 percent of what the tax would be on its properties' assessed value. "We've always been committed to supporting the properties on which our offices are located," she said. "We make payments in lieu of taxes on our properties and feel we should." She agreed that OFO utilizes many of the city's service; streets, fire department, police, and said she feels supporting the city is a worthy effort. Beyond service organizations, 27 churches are listed as exempt from city taxes. Muller said several, including the Unitarian Universalist Church, already put money on the city's plate. Main Street Baptist Church officials said they gave a voluntary gift to the city for 2003, but didn't know how many other years they had. A St. Mary's Church official said she couldn't comment as she did not know about the bill. Bonacic said along with tax abuse by legitimate tax-exempt organizations, there are illegitimate not-for-profit organizations too. He said the bill would root them out. "There are charlatans out there, there are flakes out there, and shrewd people are forming not-for-profits to avoid taxes," Bonacic said. "This comes at homeowners' expense." Muller said she has no doubt there are illegitimate tax-exempt organizations in the state but probably not in this area. "You aren't going to find human service organizations here that have a lot of fat," she said. "(Those here) are classically under-funded and over-stressed." The bill, which passed a Senate committee, would next go to the senate floor for introduction. Bonacic said he hoped senators would take it up in the next two weeks before summer recess. ——— Jack Mazurak can be reached at jmazurak@thedailystar.com or (607) 441-7218. | ||
| J. Crohn Citizen Username: Jcrohn Post Number: 684 Registered: 3-2003 |
I'm not sure, but the reason Massachusetts universities make voluntary payments to their municipalities may be because legislation was threatened that would have forced them to do so. According to this: http://216.239.41.104/search?q=cache:6u9KMyLUY2MJ:www.mansac.org/quarterly03-11/ fallmansac03.pdf+%22payment+in+lieu%22+university+catholic&hl=en&ie=UTF-8 ...there was a bill in the state senate last year that, if passed, would have required private ed institutions to pay taxes on all property not used strictly for academic purposes. (I have no idea whether or not the bill did, in fact, pass.) Scroll down to page 2, the reference to "Senate Bill 2063". |
