The Boston Teachers Union has long advocated for the City of Boston to pursue a fairer contribution on the part of Boston’s major tax-exempt institutions to the city’s coffers. At long last, there seems to be some movement.
“For the first time, Boston’s major tax-exempt institutions – its premier hospitals, universities, and cultural centers – are being asked to make regular voluntary payments to the city based on the value of their property to help offset the rising cost of city services and cuts in state financial aid…”
“The new revenue-raising plan – the first of its kind in the nation – is based on the estimated cost of providing basic city services, such as police and fire protection, snow removal, and emergency medical treatment, which account for roughly 25 percent of the city’s budget. And it is designed to gradually increase annual financial payments to the city by the major tax-exempt organizations from the $15 million they paid this year to $48 million over a five-year ramp-up period.”