Review of PILOT Agreement Announced By Hudson Council
Independent study will assess the property tax exemption plan for the N. 7th Street Affordable Housing Program.
Hudson’s Common Council President Tom DePietro announced today that the Council has commissioned the Benjamin Center for Public Policy Initiatives at SUNY New Paltz to conduct an analysis of the PILOT agreement for the proposed Seventh Street affordable housing project. The study is expected to be completed within four weeks, in advance of the Common Council’s vote on the project.
Common Council approval is required before the housing developer can move forward to secure the necessary funding from New York State Home and Community Renewal (HCR), the state’s affordable housing agency.
The Galvan Foundation, developers of the proposed affordable housing project, is underwriting the study.
“The Common Council is committed to increasing affordable housing in Hudson,” said President DePietro. “At the same time we need the expertise of the Benjamin Center to analyze the costs and benefits of the PILOT agreement.”
A tax abatement agreement between the city and the developer, known as a PILOT (Payment In Lieu of Taxes) is typical of affordable housing development projects.
The N. 7th Street affordable housing project’s proposed PILOT agreement covers 95% of the intended square footage, and excludes the remaining 4,000 square feet of commercial space.
“The Council takes its due diligence seriously,” added President DePietro. “Bringing in the Benjamin Center for an impartial review of the PILOT agreement is part of exercising that responsibility.”At last week's Council meeting, when it was decided there would be a special meeting about the project on Monday, May 4, DePietro indicated that he would call for a vote from the Council at that meeting. It appears from the press release that the vote will be postponed until the May Council meeting, scheduled to take place on Tuesday, May 19.
During the mayor's virtual town hall meeting on Friday, DePietro said a comprehensive guide to the project would be posted on the City of Hudson website today. That guide, which includes the above press release, can be found here.
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