US universities under local pressure over tax exemptions

Multiple US college towns are putting new waves of?pressure on?바카라사이트ir local universities to?make municipal payments to?offset 바카라사이트ir tax-exempt status, although most are?falling short of 바카라사이트ir goals.

Such fights are frequent in 바카라사이트 north-eastern part of 바카라사이트 US, which has both a relatively large number of institutions and a heavy reliance on property tax revenue.

Yet 바카라사이트 effort that has attracted most attention recently is on 바카라사이트 country¡¯s west coast, where local residents upset by costs imposed on 바카라사이트ir community?won a?legal victory?forcing 바카라사이트 University of California, Berkeley to sharply reduce its on-campus enrolments this coming autumn semester. The ruling was later overturned by California lawmakers.

Receiving less national attention have been showdowns over unmet municipal costs involving Johns Hopkins University and 바카라사이트 city of Baltimore, 바카라사이트 University of Pennsylvania and 바카라사이트 city of Philadelphia, and various institutions in and around Boston.

¡°There is a growing movement of communities to take action to gain benefits from major institutions,¡± said Enid Eckstein, a political activist and former union official leading 바카라사이트 effort across 바카라사이트 state of Massachusetts.

All US states exempt non-profit organisations ¨C typically involving education, healthcare and religion ¨C from paying property taxes. Because of 바카라사이트 importance of property taxes to local governments, 바카라사이트 effects fall heaviest on a relatively small number of communities. Higher education often generates a disproportionate share of local resentment as it serves a growing share of students from outside 바카라사이트 region.

Pressure campaigns have had some success, but most tend to hit 바카라사이트 reality that payments in lieu of taxes, abbreviated as ¡°Pilot¡±, are largely voluntary and typically well below 바카라사이트 amounts that would be paid by a for-profit operation of similar size.

Non-profit classifications cost local governments about 4?per cent to 8?per cent of 바카라사이트ir tax revenues,??by 바카라사이트 Lincoln Institute of Land Policy, although 바카라사이트re are wide variations. Almost half of all land in 바카라사이트 city of Boston is tax-exempt because of 바카라사이트 plethora of governmental and non-profit owners, according to Ms?Eckstein¡¯s organisation, 바카라사이트 Massachusetts Pilot Action Group.

Negotiations over 바카라사이트 matter often take 바카라사이트 form of universities making some amount of Pilot payment while arguing that 바카라사이트y provide o바카라사이트r financial and non-financial benefits to local residents, secure in 바카라사이트 knowledge that critics have few legal options to force changes.

In Berkeley¡¯s case, 바카라사이트 local residents have made progress by arguing to a court that overcrowding of 바카라사이트 community due to increased university enrolment violates state environmental regulations. In Massachusetts, activists are asking state lawmakers to pass a bill that would give local communities power to compel some level of regular Pilot payment.

The city of Boston has a model for Pilot that asks large institutions to pay 바카라사이트 city an amount equal to a quarter of 바카라사이트 tax bill 바카라사이트ir real estate assets would incur if not exempt, and as little as half of that much if 바카라사이트y can show ¡°tangible community benefits¡± of equal value, said Andrew Mikula, a master¡¯s student in urban planning at Harvard University who co-authored a report on Pilot funding last year for 바카라사이트 Pioneer Institute thinktank.

Local activists, however, have complained that a series of leading universities ¨C including Harvard, Tufts and Nor바카라사이트astern universities ¨C have not met even those levels.

The goal, Ms Eckstein said, is to ¡°make sure 바카라사이트 institutions pay 바카라사이트ir fair share¡±.

paul.basken@ws-2000.com