Exempt Institutions Put Load on Taxpayers
(Published in the Providence Journal, August 15, 2008)

I was stunned and disappointed reading former Mayor Joseph R. Paolino Jr.’s opinion piece on July 11 advocating the selling of valuable land along the Providence River to Johnson & Wales (“Colleges and hospitals are vital to Providence economy”).

As the chief executive of Providence for seven years, Paolino is keenly aware that tax-exempt institutions have caused enormous hardships for the taxpayer. He argues that jobs will come into the city, recession-proof services will be offered and the city’s renaissance will be enhanced. Knowing that the city is approaching 55 percent of tax exempt property and encouraging this move is puzzling. What is it in Economics 101 that Paolino got and I missed?

What was not mentioned is that in the last six years that number of tax-exempt properties has increased and our taxes have nearly doubled. We as landlords cannot double the rents. Even a modest increase causes some families to move. These are good hardworking people who can’t cope with the added burden.

To Mayor David N. Cicilline’s credit, he is cool to the idea of allowing Johnson & Wales to expand along the Route 195 corridor. I salute him also for doing what none of his predecessors would do. He finally broke the ice and secured some money from Brown, Providence College, Johnson & Wales and the Rhode Island School of Design. Unfortunately, the agreed upon amount of $50 million over 20 years falls far short when one considers the valuable properties they own. When tax-exempt institutions acquire income-producing property through purchase or gift, they must pay the taxes due and get off our backs.

A Federal Hill businessman recently told me he stays awake nights concerned about the tax on his building and the future of his business with the prospect of increased taxes. For sure, the tax-exempts do not have his concerns. What incentive is there for a businessman to set up shop in Providence?

Recently, out of sheer frustration, I erected a six foot by four foot sign in front of my property on Orms Street suggesting Providence needs a tax revolt. I further state my property pays more tax than Brown University on its income-producing real estate.

Who do we turn to for help and relief? Certainly no one on the city council has demonstrated any concern. It is clear the general assembly doesn’t have the will to change this antiquated criminal practice that is the ultimate example of unfairness.

Our founding fathers did not intend for wealthy institutions of higher learning to acquire massive amounts of valuable property and not pay the tax due — and expect the citizenry [to shoulder the] burden. In a democratic society, the anger of the people can bring about change. Hopefully, we will have more responsive people in government who will do it before tax-exempt property reaches 60 to 65 percent.

Edward J. Collins

Providence

(Collins is past president of the Smith Hill Business Association.)

The Fourth Annual raffle fund raiser to benefit the children of Rhonda Ashley will be held on September 1, 2008. For information about how to help or purchase $5 raffle tickets, please contact Barbara Adams

Sonya Nance and Barbara Adams joined together September 2005, to start the first “Children of Rhonda Ashley” fundraiser. Rhonda left behind four precious jewels: Janae, Kwami, Derek and Dionne.

On August 8, 2005, Rhonda lost her battle with Cancer. Her family and her diamond of a man, Derek Webster share legal guardianship of the children. In doing this, there comes an extra responsibility, not just emotionally but financially. Those whom know Webster and Ashley family know they would not ask for anything. As the family and friends I hope that we all can make an effort to ease a little of the strain for the future as well as the present. There has been an account open at the Coastway Credit Union in Rhode Island. The account is for the benefit of Rhonda Ashley’s Children. The account will be open until the twins, Derek and Dionne, reach their 18^th birthday. The monies collected and donated will be deposit in the account to help with any financial situations that may incur for the children. Although, Rhonda’s family and Derek will be helping each other with the responsibility of the children, we believe it take a village to raise a child. Any and all donations will be greatly appreciated. We need them all in by August 15th.

So far, we have Box Seats to a Red Sox game at Fenway Park, a top-shelf liquor basket, packages for families and couples for a great night out and many more excellent prizes.

If you have any questions or concerns regarding the fundraiser and/or the raffles, please feel free to contact Barbara at 401-241-9682. You can leave a message with a contact number. We will return your call as soon as possible.

Sincerely,

Sonya Nance
Barbara Adams

]]> http://www.smithhillcdc.org/raffle-to-support-local-children/feed http://www.smithhillcdc.org/lydia-street-open-house http://www.smithhillcdc.org/lydia-street-open-house#comments Tue, 05 Aug 2008 17:08:07 +0000 SHCDC Staff http://www.smithhillcdc.org/?p=123 On Thursday July 31, we hosted an open house to celebrate the completion of 99 Lydia Street. Our partners : Rhode Island Housing, Crossroads RI, Ed Wojcik Architects ltd. and Vasco Inc., proudly presented the house for public viewing a day before before the official move-in for our newest tenants. Many neighborhood residents and housing partners showed up to celebrate this great achievement.