ZIMMER PROPOSES THAT THE COSTS TO TAXPAYERS
OF PILOT TAX ABATEMENTS MUST BE DISCLOSED BEFORE
NEW AGREEMENTS ARE APPROVED
OF PILOT TAX ABATEMENTS MUST BE DISCLOSED BEFORE
NEW AGREEMENTS ARE APPROVED
Councilwoman Dawn Zimmer today released a proposed Council Resolution she has drafted to require that applications for PILOT tax abatements contain an analysis of the projected costs to the taxpayers. Under Zimmer’s proposal, a financial analysis is to be conducted that establishes, for each year that a proposed PILOT will be in effect, whether it results in a benefit or a cost to taxpayers as compared to regular taxation.
Zimmer said, “The Council and the public need to know the true costs of going forward with a PILOT agreement before it is approved, not after we are left footing the bill. Proponents of the use of PILOTs have maintained that they save the city’s taxpayers money. Opponents like myself believe that PILOTs in fact result in a significant cost to taxpayers, and that they have been a major contributor to our long term fiscal crisis."
The Councilwoman went on to say, "It is important that if we choose to enter into new agreements, we do so with our eyes wide open. If a PILOT is granted that results in a cost to the City’s taxpayers, we need to know up front what that cost is, and what we are getting in return. No PILOT that costs the taxpayers money should ever be granted unless it is clear that the City of Hoboken is receiving at least equal value in return."
Zimmer noted that she would seek immediate adoption of the Resolution at the April 15th Council meeting.
Here is the proposed resolution that Dawn seeks to try to adopt at the next City Council Meeting on 4/15/2009:
Dawn Zimmer PILOT Analysis Resolution
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