Pittsburgh Passes Nonprofit Payment Plan
Content
September 2012
I mentioned the issue of property tax exemptions in a prior newsletter. Here is another example of a city that is actively working with nonprofits in their community to see payments in lieu of taxes. Look for more cities to follow suit.
Pittsburgh Passes Nonprofit Payment Plan, Memphis Mulls Same
The Pittsburgh (PA) City Council approved a deal with a nonprofit coalition Monday that will provide the city with $5.2-million to $5.4-million in lieu of taxes over the next two years, the Pittsburgh Post-Gazette reports. About 40 nonprofit groups will contribute to the Pittsburgh Public Service Fund, which supplied a like amount to city coffers in in 2010-11. Some council members have called for a sharp increase in charities’ payments in lieu of property taxes, and the new measure included an amendment directing finance officials to determine how much the city spends on police, fire, and other services for tax-exempt entities. The participating groups, many of them smaller charities, represent a small proportion of the city’s tax-exempt organizations. Nonprofits “are good partners, but they could be better partners,” Councilman Ricky Burgess, the panel’s finance chairman, said at Monday’s meeting. In Memphis, city lawmakers were due to vote later this month on a proposal to explore seeking similar payments from local charities, The Commercial Appeal says. Source: Chronicle of Philanthropy, July 2012 _____________________________________________
This information is provided with the understanding that CMA is not rendering tax, accounting, legal, or other professional advice. Professional advice on specific issues should be sought from a qualified CPA, attorney, or other professional.
1825 Hamilton Ave, San Jose, CA 95125
Phone: 408-408-703-6568
E-mail: [email protected]
I mentioned the issue of property tax exemptions in a prior newsletter. Here is another example of a city that is actively working with nonprofits in their community to see payments in lieu of taxes. Look for more cities to follow suit.
Pittsburgh Passes Nonprofit Payment Plan, Memphis Mulls Same
The Pittsburgh (PA) City Council approved a deal with a nonprofit coalition Monday that will provide the city with $5.2-million to $5.4-million in lieu of taxes over the next two years, the Pittsburgh Post-Gazette reports. About 40 nonprofit groups will contribute to the Pittsburgh Public Service Fund, which supplied a like amount to city coffers in in 2010-11. Some council members have called for a sharp increase in charities’ payments in lieu of property taxes, and the new measure included an amendment directing finance officials to determine how much the city spends on police, fire, and other services for tax-exempt entities. The participating groups, many of them smaller charities, represent a small proportion of the city’s tax-exempt organizations. Nonprofits “are good partners, but they could be better partners,” Councilman Ricky Burgess, the panel’s finance chairman, said at Monday’s meeting. In Memphis, city lawmakers were due to vote later this month on a proposal to explore seeking similar payments from local charities, The Commercial Appeal says. Source: Chronicle of Philanthropy, July 2012 _____________________________________________
This information is provided with the understanding that CMA is not rendering tax, accounting, legal, or other professional advice. Professional advice on specific issues should be sought from a qualified CPA, attorney, or other professional.
1825 Hamilton Ave, San Jose, CA 95125
Phone: 408-408-703-6568
E-mail: [email protected]
