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Ogdensburg City Council supports state bill to receive payment in lieu of taxes on state property

Posted 5/9/23

BY JIMMY LAWTON North Country This Week OGDENSBURG — Ogdensburg City Council unanimously supported a state bill on Monday, May 8, that would allow the city to receive payments in lieu of taxes on …

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Ogdensburg City Council supports state bill to receive payment in lieu of taxes on state property

Posted

BY JIMMY LAWTON

North Country This Week

OGDENSBURG — Ogdensburg City Council unanimously supported a state bill on Monday, May 8, that would allow the city to receive payments in lieu of taxes on state owned property.

The bill is an amended version of earlier legislation; the new version excludes property owned by the Ogdensburg Bridge and Port Authority.

The compromise was originally opposed by City Councilor John Rishe who did not believe the OBPA should be excluded.

City Councilor Dan Skamperle, who’s been supportive of Rishe’s plan, said the amendment was added at the request of Assemblyman Scott Gray. He said the amendment needed to be added to even be entertained at the state level.

Skamperle said that while he understands the concerns, he believes something’s better than nothing and that concessions are part of the process.

City Councilor Michael Powers said he had a similar conversation with Sen. Mark Walczyk.

Rishe pushed for the original plan and the establishment of a task force to move it forward. He has frequently pointed out that the state owns large amounts of city property that have been left to fall into disrepair and in some cases the property is prime real estate that can’t be developed.

In the past, Rishe has noted that the state owns over 50 percent of the city’s waterfront property, which is a figure he said surprised him.

He said the city is suffering because it is unable to make use of some of its most valuable property.

Rishe said the exemptions exceed $8.2 million in lost revenue to the city, county and school district.

Rishe has also stated that the losses are even greater due to “their underutilized, blighted, and deteriorating conditions and the fact that they comprise over 50 percent of the city’s valuable St. Lawrence River waterfront, hampering future private sector growth and development.”

Rishe has supported Payments in Lieu of Taxes (PILOTs) based on the fact that the state makes PILOT payments to other cities in the state in recognition of their tax-exempt status, including Albany and New York which receives over $22 million annually in PILOT payments.