Should nonprofits pay for city services in New Rochelle?

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Is it time for New Rochelle’s not-for-profits to pay for fire, police, and city services?

In a eye-opening Wall Street Journal article “Strapped Cities Hit Nonprofits With Fees.” published 12/27/2010, http://on.wsj.com/ew1Iav. **(The WSJ url does not work. Key word search the article’s title on the Wall Street Journal’s website.)

Non-for-profits such as colleges, churches, and charitable organizations across the country are loosing automatic tax exemptions, and are being required to pay property taxes, and for municipal services such as fire and police protection. The loss of automatic non-profit exemptions is seen as a necessary source of revenue to pay for essential city services in these tough economic times. The question that needs to be asked is, should non-profits pay for municipal services in New Rochelle?

In some municipalities, contributions for the city services non-profits use are voluntary, in others the fees are mandatory. One argument in the article makes a good point noting that if a non-profit fails to pay its utility bills, the power is shut off. Non profits understandably object to the fees but in these harsh financial times, can we as a community really afford to provide city services at no cost to these institutions?

Should New Rochelle continue to wave fees for not-for-profits who actively use city services when faced with laying off additional essential services workers? I am not sure if non-profits use the city’s refuse removal services, but I am sure that they use the police and fire department services. As an example Iona and The College of New Rochelle, are the largest industries in New Rochelle and have multi-million dollar budgets. Yet both colleges are exempt from property taxes on their primary and acquired properties, and use police and fire services. Recently, localities in Albany, NY ordinances were passed, asking schools, hospitals and other non profits to pay for city services.

With New Rochelle City Hall running out of money to pay for essential services, coupled with a reduction of funding from the state and federal level, it may be time for non-profits to pay their share for municipal services. Without viable police, fire and sanitation departments, the city will become un-livable. Students and their parents will not pay to send their children into a community that does not provide essential services.

Recognizing this national trend, we may be seeing an end to automatic exemptions for churches, schools and charities as the traditional wells of revenues run dry. Let us hope that New Rochelle’s non-for-profit leadership understand that paying for the services they use is as necessary as paying their monthly utility bills. Let’s hope they step up to protect their investments and pay their fair share for the services they use and depend on.

**Note: The Wall Street Journal link does not take you directly to the story, “Strapped Cities Hit Nonprofits With Fees.” Below are two additional links for additional reading.

1. Governments Tell Nonprofits to Pay Share - WSJ.com

mkieloch says: On today's @WSJ cover: Strapped Cities Hit Nonprofits With Fees http://on.wsj.com/ew1Iav —An endrun around #nonprofit tax exemptions? ...
tweetmeme.com/.../governments-tell-nonprofits-to-pay-share-wsjcom - Cached
2. Strapped Cities Hit Nonprofits With Fees

gabegutierrez 2 hours ago; Houston is featured in this story from WSJ.com - Strapped Cities Hit Nonprofits With Fees http://on.wsj.com/ew1Iav ...
njuice.com/Strapped-Cities-Hit-Nonprofits-With-Fees

Commenting on this Blog entry is closed.

MRDESSERT on Thu, 12/30/2010 - 08:19

Dear Iona College (& others)
By taking a lot of property off the RE Tax roles you are causing our city harm. We have allowed this for too long!!

to Mayor Bramson & others - make a deal with Iona (a Church owned college) pay 50% of the fair market value of your RE Taxes for 5 years they reduce gradually to 25% forever!

The City has done a lot for you as you have for the City!
It's time to pay back. The college's tuition is the same as a comparable private college that pays RE Tax. New Rochelle is in a bind. Think about the students and the economic lesson this is teaching - the Church is above the law?

It's time to own up to pay for what you receive!

mrdessert@gmail.com

Fifth Ave Guy on Wed, 12/29/2010 - 15:12

This is long over due! Thanks LJ for bringing it up and even if its an old idea its worth taking another look at. Why can other communities do this, but in New Rochelle its hands off? My impression is that the Democrats running this city don't want to touch the sacred cow, but non-profits like Iona are bleeding us dry and while the city borrows money to fill its reserve fund. Maybe there'd be no need to borrow/bond this year if we could collect some money from these organizations.

Our day of reconning is coming. The 2011 budget is so out of balance it disgusts me and makes New Rochelle the laughing stock of Westchester and the state. Just yesterday there was an article in the Journal News (http://www.lohud.com/article/20101227/NEWS05/12270352/Local-governments-...) on how few municipalities were borrowing from the state to pay their pension costs and sadly New Rochelle was 1 of the first in line to say yes.

Will Bramson run again in Nov? I don't know, but I can guarantee that the 2012 budget won't be released until long after the election.

NRinfo on Wed, 12/29/2010 - 00:07

This was proposed years ago but naturally the politically correct would not even consider it. New Rochelle went so far as to determine that the newest Iona dorm was a "commercial" building and exempted Iona from the onerous refuse fee/garbage tax. It is my opinion that all no-for-profits should pay a public service fee for (police, fire & sanitation) for educational buildings; school, gym, sports field, meeting hall etc. and all buildings for residency (dormitories) should pay full property taxes. The transient nature of students raises the number public response calls from genuine emergencies, to alcohol related and even the unwise college pranks. New Rochelle has been labeled a college town and now it's time the colleges pay their fair share.

I realize there are benefits from the colleges like increased sales tax revenue but when one weighs the current tax-free situation, the not-for-profits take much more then they return.

ladyjustice on Tue, 12/28/2010 - 23:26

¿Es hora de New Rochelle, sin fines de lucro para pagar por bomberos, policía y servicios de la ciudad?

En un revelador artículo del Wall Street Journal "Ciudades Atado Hit No Ganancias con tasas." Publicado 12/27/2010, http://on.wsj.com/ew1Iav. ** (El Wall Street Journal url no funciona. Palabra clave de búsqueda el título del artículo en la página web del Wall Street Journal.)

Sin fines de lucro, como universidades, iglesias, organizaciones de caridad en todo el país están perdiendo exenciones automáticas de impuestos, y están siendo obligados a pagar impuestos a la propiedad, y para los servicios municipales, tales como incendios y protección policial. La pérdida de las exenciones automáticas sin fines de lucro se considera como una fuente necesaria de ingresos para pagar los servicios esenciales de la ciudad en estos tiempos económicos difíciles. La pregunta que debe plantearse es, en caso de no pagar los beneficios de los servicios municipales en New Rochelle?

En algunos municipios, las contribuciones de los servicios de la ciudad sin fines de lucro utilizan son de carácter voluntario, en otros los honorarios son obligatorios. Un argumento en el artículo se hace un buen punto de señalar que si una organización no lucrativa no paga sus facturas de servicios públicos, el poder está apagado. beneficios no es comprensible objeto de las tasas, pero en estos tiempos económicos difíciles, podemos nosotros como una comunidad realmente permitirse el lujo de ofrecer servicios de la ciudad sin costo alguno para estas instituciones?

En caso de New Rochelle continuará a las tasas de onda para sin fines de lucro que se esfuercen por utilizar servicios de la ciudad ante el despido de más trabajadores de servicios esenciales? No estoy seguro de si sin fines de lucro utilizan los servicios de la ciudad de eliminación de desechos, pero estoy seguro de que utilicen los servicios del departamento de policía y bomberos. Como ejemplo Iona y El Colegio de New Rochelle, son las industrias más grandes en New Rochelle y tienen varios millones de dólares de los presupuestos. Sin embargo, ambas universidades están exentas de impuestos a la propiedad sobre sus propiedades primaria y adquirida, y la policía el uso y los servicios de bomberos. Recientemente, las localidades en Albany, NY ordenanzas fueron aprobadas, pidiendo a las escuelas, hospitales y otras sin fines de lucro para pagar por servicios de la ciudad.

Con New Rochelle Ayuntamiento quedando sin dinero para pagar los servicios esenciales, junto con una reducción de los fondos del nivel estatal y federal, puede ser hora de sin fines de lucro para pagar su cuota por los servicios municipales. Sin policial viable, los departamentos de bomberos y el saneamiento, la ciudad se convertirá sin habitables. Los estudiantes y sus padres no pagar para enviar a sus hijos en una comunidad que no prestan servicios esenciales.

Reconociendo esta tendencia nacional, podemos estar viendo el fin de las exenciones automáticas para iglesias, escuelas e instituciones de beneficencia como los pozos tradicionales de los ingresos en seco. Esperemos que New Rochelle no por el liderazgo de lucro entender que pagar por los servicios que utilizan es tan necesario como el pago de sus facturas mensuales. Esperemos que el paso para proteger sus inversiones y pagar su parte justa de los servicios que utilizan y dependen.

** Nota: El Wall Street Journal no enlace le llevará directamente a la historia, "Ciudades Atado Hit No Ganancias con tasas." A continuación se presentan dos enlaces adicionales para la lectura adicional.

1. Dile a los gobiernos a organizaciones no lucrativas de pago de Acciones - WSJ.com

mkieloch dice: El día de hoy @ WSJ comprende: Ciudades Atado Hit organizaciones no lucrativas con http://on.wsj.com/ew1Iav tasas-en torno a un endrun # exenciones fiscales sin fines de lucro? ...
tweetmeme.com / ... / gobiernos-dice-sin fines de lucro-para-pagar-en acciones wsjcom - En caché
2. Ciudades Atado Hit organizaciones no lucrativas con gastos

gabegutierrez hace 2 horas; Houston aparece en esta historia de WSJ.com - Ciudades Atado Hit organizaciones no lucrativas con http://on.wsj.com/ew1Iav cargos ...
njuice.com / Atado-Ciudades-Hit-organizaciones no lucrativas-con-Tasas

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