Odlok 2493: Sporazum PILOT Za Meridia Na Roselle Park

Odlok 2493: PILOT Agreement For Meridia At Roselle Parkthumbnail
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Objavljeno: Junij 1, 2017 @ 5:00 PM EST

The legal requirement to allow PILOT, or Payment In Lieu Of Taxes, pri “Meridia Na Roselle Park” development on West Westfield Avenue for their 213-unit residential development is in the form of Ordinance 2493. This directive will authorize Roselle Park’s governing body to enter into a PILOT agreementon behalf of the borough’s residentswith Meridia on Westfield Urban Renewal, Roselle Park, LLC. This will be for the five (5) properties along West Westfield Avenue that include the former restaurant Domani’s, DJ Limousine, and SESSCO.

V decembru 2015, the first step to having the properties developed on Route 28 (Westfield Avenue) was taken when the Municipal Land Use Board (MLUB) designated the lots as an Area In Need Of Redevelopment. Zdaj, 18 mesecev kasneje, after being approved by both the MLUB and council to develop, Capodagli Property Company (CPC) – the parent company of Meridiahas demolished the structures and is applying for PILOT.

PILOT je program, ki je uporabljena kot spodbuda za razvijalce graditi na posestvih v občinah, ki so bili zapuščeni, prazen, ali neizkoriščena. Razvijalci uporabo PILOT plačati občina manj, kot bi bilo sicer treba plačati, če so davki plačani na lastnosti. Občine lahko manj prejmejo davkov, vendar je občinski vlada prejme več v obliki odstotka od 95% pilotnih gre v mesto, v primerjavi z ob 30% to 33% davkov, ki gredo v občini. In a PILOT scenario, a school district does not get any of the PILOT payments. Criticism of the program is that for an apartment or residential development, school children might attend local public schools but the developer would not pay for any increase in student population through school taxes. At a presentation for PILOT held in April, Michael Hanley of NW Financial Group stated that school districts do get taxes from the land portion of property taxes. It is only the improvement partwhich is covered by PILOTthat does not go to schools.

Joseph Baumann from the law firm of McManimon, Škotska & Baumann, LLC – the special council appointed by the governing body to assist with the logistics of the project and PILOTconfirmed that the land portion of property taxes are still paid and only the improvement portion has PILOT applied to it. It is this portion that will not have any taxes going to schools but, according to the presentation, between 50% and 55% of the land portion taxes will still go to schools. PILOT will apply any taxes paid by the municipality from the land portion as a credit to the PILOT payments.

Kot je za PILOT, it will be based on the annual revenue of the development and will be for 30 let. The complex is scheduled to be completed by July of 2019. The project is designated as mix-use with the first floor of the development being for as yet unnamed commercial use.

Below is a breakdown of the percentage to be paid as PILOT for the span of the agreement:

YEARS
RATE
PHASE-OUT
1 - 5
10.5%
6 - 10
10.5%
ali 20% of ordinary taxation
11-15
13%
ali 40% of ordinary taxation
16 - 20
13%
ali 60% of ordinary taxation
21 - 30
13%
ali 80% of ordinary taxation

The phase-out alternative method means that the developer will pay either a percentage of the revenue of a percentage of taxes – whichever is greater.

Odlok 2493 is set to have its second reading, javna obravnava, and vote by the governing body at tonight’s Mayor & Seja Sveta, ki se bo začela ob 7 p.m. v Borough Hall.

A copy of the ordinance along with the 99-page application for PILOT are included below. Poleg tega, a video of the April 19, 2017 PILOT presentation is available below the documents.


Prenos RP Odlok 2493


Download Meridia on Westfield Urban Renewal PILOT Application