Favorite

City Considers Billing Nonprofits for Public Services 

With the city's looming budget crisis all options seem to be on the table. City Assessor James Hester has identified a potential new funding stream, although it may prove politically unpopular.

A neglected ordinance from 1993 gives the city the ability to collect a service fee from nonprofit organizations otherwise exempt from property taxes as a reimbursement for basic city services such as police and trash pickup. Under the ordinance places of worship would not be charged.

Nonprofits are not pleased.

“I'll fight that tooth and nail,” says Melba Gibbs, executive director of the Freedom House homeless shelter. “We can't afford it. We're already providing the city with a service.”

The assessor says there are 210 parcels in the city that fall into the nonprofit category, with a total assessed value of $328 million. The service fee allows the city to assess a portion of the property tax rate and could yield about $800,000 in new revenue.

“At this time the mayor has not made any changes to current procedure,” mayoral spokeswoman Tammy Hawley says, “but he is reviewing the matter with City Council.”

Favorite

Comments

Subscribe to this thread:

Add a comment

More by Amy Biegelsen

Connect with Style Weekly

Newsletter Sign-Up

The Flash
The Bite
The Scoop

Most Popular Stories

  • What About the Boulevard?

    What About the Boulevard?

    Richmond officials say the city desperately needs revenue. But a potential gold mine has been sitting undeveloped for nearly two decades.
    • Mar 12, 2019
  • Rhoades' Army

    Rhoades' Army

    VCU Rams are headed into March Madness -- what to expect on Friday.
    • Mar 18, 2019
  • Drowning Out Hate

    Drowning Out Hate

    Costume-clad kazoo players and drummers jubilantly respond to the Westboro Baptist Church.
    • Mar 11, 2019
  • Keeping the Faith

    Keeping the Faith

    A conflict over two of the city’s historic African-American cemeteries threatens to undermine restoration efforts.
    • Mar 12, 2019
  • More »

Copyright © 2019 Style Weekly
Richmond's alternative for news, arts, culture and opinion
All rights reserved
Powered by Foundation