Town-gown relations between Tufts and the Somerville and Medford communities are normally decent, recently marred only by noisy parties or new construction plans by the University. But the relationship between Tufts and Somerville has become more strained as Somerville's new mayor tries to solve Somerville's finance woes by demanding that Tufts give Payments in Lieu of Taxes (PILOT).
PILOTs are given by non-profit institutions voluntarily to compensate for not paying property taxes.
Somerville, like the majority of cities in Massachusetts, must deal with huge decreases in federal and local funding. To not cut services, Somerville Mayor Joe Curtatone has been looking for new sources of tax revenues. One of these places is PILOTs from Tufts. Curtatone wants to create a PILOT program with Tufts for the municipal; services provided by the city of Somerville.
Unfortunately, Tufts, like Somerville, has a tight budget. Compared to its neighboring universities (i.e. Harvard), Tufts has a small endowment and more restricted fundraising options. It would be difficult for Tufts to make comparable PILOT payments, which can reach up to $2 million.
Reductions in government funding have impacted Tufts as well as Somerville. Even if Tufts were to complete a PILOT agreement with Somerville, it could only make a token contribution.
Another concern with PILOT programs is that universities would probably pass the charge right on to the student, which it turn enhances the problem of skyrocketing tuition. There is no easy solution.
It is interesting to note that only six of the 36 colleges and universities in the Boston area have PILOT agreements.
The problem of finding new sources of income has been a problem for all communities in Massachusetts as they have had to deal with smaller budgets. When students exhibit riotous and destructive behavior which consumes city resources -- blatant after events like the Super Bowl and the baseball playoffs -- it seems clear that universities should pay something for the services required.
Tufts must be respectful and thankful to Somerville and Medford, but those cities should also understand Tufts' capabilities. By aggressively pushing for a PILOT program, Curtatone will harm town-gown relations, and he cannot blame the impasse on the students or the administration. Tufts provides many services to the community by attracting visitors and creating a job resource. There are other options for Director of Community Relations Barbara Rubel and Curtatone to find that will better meet the needs of Tufts and Somerville.
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