WPCNR THE WOOD REPORT. By Paul Wood, City of White Plains Executive Officer. Exclusive to WPCNR June 28, 2007: In response to “White Plains Citizen,” I’d have to say that he/she sure leaves out a lot. First of all, he/she only considers the property tax revenues that have been generated by Cappelli originated projects. But City Center also had a revitalizing effect. Don’t forget Bank Street, JPI, Clayton Park, the new Avalon project and others.
What were the original assessments? And what are they today? Let’s take a look:
Paul Wood, City of White Plains Executive Officer
Old Macy’s vacant site plus marginal businesses along Main Street and Martine Avenue– Assessed Value prior to development $1,680,950, producing VERY LITTLE SALES TAX REVENUE.
Today the assessed value for the site which includes City Center including (residential – 1 City Place – $2,200,000, Trump Tower – $2,375,100 and the Lofts – $261,500) plus the retail component (City Center, Target and the Air Rights Building – $4,055,000) = for a total assessed value of $8,891,600.
Bank Street Common vacant lot – Assessed Value prior to development – $475,000 producing NO SALES TAX REVENUE. Today the assessed value equates to $3,513,000.
Clayton Park prior to development was assessed at $127,600 today it’s $843,750.
The vacant lot’s assessed value that became JPI was $275,000, with NO SALES TAX REVENUE, today its total assessed value is $ 2,300,000.
The other benefits from the developments are even clearer. City Sales Tax revenues have gone from $34.4 million, when City Center opened to a projected $43.7 million this year. Mortgage Recording Tax has gone from $1.3 million in 2000 to more than $5.5 million today.
It’s true that the City financed $23 of the $39 million for the garage at City Center and the debt payments are approximately $1.5 million a year. The City replaced a 40-year old, 1,160-space lot that,at the time was losing $180,000 a year with a modern 2,370 space lot that generates a PROFIT of approximately $2.4 million annually. All of the profit goes toward paying off the bonds and the garage reverts to City ownership as soon as the bonds are paid. No question that the additional spaces are needed.
It’s also not an unprecedented element to encourage development. In 1981, the City financed ALL of the
$29 million (imagine the net present value of those dollars!) needed to construct the parking garage at the Galleria which helped suck the life out of downtown retailers.
Speaking of parking revenues, they have increased from $13.1 in 2004 to more than $15.6 in 2006. And for all those who criticize the dissolution of the old Parking Authority and its incorporation into a City Department, what do they say about Governor Spitzer’s effort toabolish such authorities state-wide. White Plains was 3 years ahead of
its time.
You say that you don’t care about the portion of your taxes that goes to the County??? I say you should. First of all, what are you receiving for the nearly equal amount of taxes that goes to them? Or for the assessed values for new developments that are taken off our role because the City hasn’t obtained an IDA, something the Mayor has
advocated for since 1999.
Speaking of which, Assemblywoman Amy Paulin was good enough to support a bill to get one for the City this year.
Regarding your story (WPCNR account of Mr. Bradley’s remarks about the city on White Plains Week) about (Assemblyman) Adam Bradley,
I don’t know what Adam Bradley means when he says he wants to review the budget. He’s right, the City is facing what other cities in the State are facing. He doesn’t know how they are handling it? Ask the Mayor, who as the President of NYCOM can tell you. Layoffs, higher property taxes, huge budget deficits and reduced services are what most other cities are doing.
We’d lose our competitive advantage? What competitive advantage? Does he really believe that people will leave White Plains to pay the SAME amount of sales tax in Yonkers, New Rochelle or Mount Vernon? The sales tax were asking for is equal to what those cities already charge. Not more. Furthermore, if he’d check the city’s website for the analysis of the quarter of a cent increase, he’d see the 97% of the projected revenues would come from people who live OUTSIDE the City.
Who does he work for? The 97% who live outside the City or the property taxpayers who would benefit and who live here.
Has he become so jaded and ineffective that he refuses to carry the message up to Albany unless he knows for sure it will pass both houses?
I hope the remarks you printed were not true or taken out of context,
John.
WPCNR Notes: The remarks of Mr.Bradley were a transcript of the actually cablecast tape, in sequence.
