A large number of Kendall residents expressed concerns regarding a possible tax abatement for the Cottages at Troutburg project during a public hearing held Wednesday morning, January 15.
James Whipple, CEO/CFO of the County of Orleans Industrial Development Agency (COIDA), presented information to residents regarding the PILOT (Payment in Lieu of Taxes) plan proposed for the 126-acre site along the Lake Ontario shoreline. The property was once the location of a Salvation Army camp. The Troutburg development may eventually include 400 cottages intended as seasonal homes.
Under terms of the proposed abatement, Troutburg would receive a total estimated abatement of $227,777 in taxes. The Kendall School District would lose out on an estimated $123,544 in taxes over the life of the PILOT, Orleans County $72,432 and the Town of Kendall $31,801, COIDA says.
Whipple explains the residential cottages’ property taxes are not subject to the PILOT proposal – only the land and existing structures would receive the tax abatement. The property has been off the tax rolls for at least 50 years, COIDA says.
The first year of the proposed ten-year PILOT plan, Troutburg would pay no tax on a $1.3 million base assessment. During each of the following nine years, ten percent of the tax bill is added until full taxes are paid after ten years.
According to reports, several residents who spoke requested that the tax incentive be cut in half of what is proposed.
Troutburg would pay $186,363 in taxes on the land during the 10 years of the PILOT, COIDA estimates.
Whipple says the tax base of the town will grow as the cottages are constructed. Figures provided to those attending the public hearing regarding the possible property tax impact of residential housing at Troutburg, state that once the number of cottages reaches 400, the estimated yearly taxes paid will be $951,900.
The Kendall Town Board does not vote on the PILOT proposal, Whipple explains. He says according to New York State Law, the COIDA board has the final say on whether it is approved.
The COIDA board originally planned to consider the PILOT at its January 17 meeting – but because of public interest, has agreed to hold an additional hearing in Kendall in the near future. According to Whipple, a date for the second public hearing had not been set as of January 15.
The earliest the COIDA Board would consider the proposal is at its February 14 meeting, he adds. “The Board will decide when and if to vote,” he says.
