Finance Committee

Regular Meeting

Portland, ME · September 11, 2025

Minutes

City of Portland, Maine Finance Committee Meetings Public Record of Proceedings Under the Maine Revised Statutes (1 M.R.S. § 403) any public meeting is required to maintain a record. M.R.S. § 403 further states that required details of the record include: A. The date, time and place of the public proceeding B. The members of the body holding the public proceeding recorded as either present or absent; and C. All motions and votes taken, by individual member, if there is a roll call M.R.S. § 403 notes that “an audio, video, or other electronic recording of a public proceeding satisfies the requirements”. The City of Portland has undertaken the expense of recording all City Council meetings and Council Committee meetings which are live streamed and archived at the following location: http://www.portlandmaine.gov/129/Agendas-Minutes. This archive meets the requirement 1 M.R.S. § 403 and is an indisputable record of proceedings which may be viewed by any member of the public. For any meetings where votes were taken, a summary will also be prepared and posted as a second page to this attachment.

Agenda

Packet

Remote Finance Committee MEMBERS Meeting Agenda Councilor April Fournier, Chair Thursday, September 11, 2025 Councilor Benjamin Grant Councilor Wesley Pelletier 5:00 PM Mayor Mark Dion (Ex-Officio) Remote via ZOOM PUBLIC COMMENT INFORMATION To submit written public comment on an agenda item for which public comment is being accepted, email finance@portlandmaine.gov. Submissions must be received by 12:00 pm the day before the Finance Committee meeting to guarantee their inclusion in the agenda packet. All submissions must include the commenter's name and legal address. To help ensure your comment is submitted for the correct item, please include the name of the agenda item (see below). ZOOM MEETING INFORMATION This meeting will take place remotely using Zoom. This meeting will be held remotely pursuant to the Remote Meeting Policy adopted by the Portland City Council. Allow your computer to install the free Zoom app to get the best meeting experience. If you are not able to attend live, a recording will be available in the Agenda Center following the meeting. For agenda items where public comment is scheduled, you will need to use the "raise your hand" feature. To raise your hand via the telephone, please hit *9. You will be unmuted by the host when it is time for public comment. Join from PC, Mac, iPad, or Android: https://portlandmaine- gov.zoom.us/j/82625199151?pwd=MVbpGmepK1v02YIJcbIcacxzvVGOKf.1 Passcode:657888 Phone one-tap: +19292056099,,82625199151#,,,,*657888# US (New York) +13017158592,,82625199151#,,,,*657888# US (Washington DC) Join via audio: +1 929 205 6099 US (New York) +1 305 224 1968 US +1 312 626 6799 US (Chicago) Webinar ID: 826 2519 9151 International numbers available: https://portlandmaine-gov.zoom.us/u/kdYiHSqX5x 1. Introductions 2. FY26 Tax Rate and Tax Billing Updates 1 Page 1 Earlier this month, the City Assessor completed the tax commitment and set the mill rate for FY26 at $11.98. This is an approximately 25% decrease from the projected FY26 pre- revaluation mill rate of $16.05. The City has also set FY26 property tax due dates. Payments are due on October 17, 2025 and March 20, 2026. Paper copies of tax bills are being prepared for mailing this month. At the current meeting, the City Finance Director will discuss the FY26 mill rate and provide some updates on the tax billing process. This is a discussion item only; no action is currently scheduled. 3. Review of Portland Senior Tax Equity Program (PSTEP) - History and Expansion Discussion In 2017, in an effort to help ease the burden of rising housing costs for the City's low income seniors, the City Finance Committee examined and recommended a Portland Senior Tax Equity Program (“P-STEP”). The program has been codified within Chapter 2 of Portland City Code and was modeled after similar senior tax relief programs in other local municipalities. The Portland program is the broadest in the region and includes the lowest age limit for qualification (62), no income restrictions beyond qualification for a tax credit under the Maine Property Tax Fairness Credit program, and has no restrictions based on length of residency or the homestead exemption. Expansion of the Portland Senior Tax Equity program was added to the annual Finance Committee work plan after being requested by several current City Councilors. Furthermore, the program needs to be expanded to ensure all applicants receive their full amount due in future fiscal years. At the current meeting, staff will review options for expansion. This is a discussion item only; no action will be taken at the current meeting. 4. Review of Portland Draft Payment-in-Lieu-of-Taxes Policy (PILOT) The City’s Finance Committee (and other Council Committees) have explored a PILOT policy for Portland at several points in time over the last several years. At the current meeting, staff will review the latest draft of the PILOT policy and discuss changes incorporated based on constituent feedback and best practices in other municipalities. This is a discussion item only; no action will be taken at the current meeting. 5. Future Meeting Dates / Topics a. To Be Discussed at Meeting 6. Adjournment 2 Page 2 FY26 Tax Rate and Tax Levy Updates (Plus FY27 Early Primer) City of Portland, Maine Presentation to Finance Committee - September 11, 2025 Page 3 AGENDA ● FY26 Tax Rate and Tax Levy Updates (Plus FY27 Early Primer) ● P-STEP Program Review ● PILOT Policy Discussion and Committee Next Steps Page 4 FY26 Tax Rate and Tax Levy Updates Page 5 Budgeting Basics Revisited - Tax Levy vs Tax Rate TAX LEVY: The City Council sets the tax levy, not the tax rate. The City tax levy is the amount of property taxes required to be collected from Portland property taxpayers to fund municipal operations. The tax levy for FY26 was approved by the City Council in June at $243,152,498. TAX RATE (aka MILL RATE): The City Assessor uses the property tax levy approved by the City Council and uses the total taxable valuation of the City during the tax commitment process to come up with the final tax rate (also known as the mill rate or the millage rate). The tax rate represents the amount of taxes payable per $1000 of assessed property value. The commitment process usually occurs in midsummer. The process is now complete and the tax rate for FY26 is $11.98. Page 6 5 Year Tax Levy History The City Council has approved tax levy increases of approximately $53M since FY22 (a 28% increase over the five year period). The FY25 to FY26 tax levy increase of approximately $15.8M (7%) would have been in excess of $30M if not for the use of $15M+ in one time funds (fund balance / debt Page service 7 reserves). 5 Year Tax Rate History ● Due to rising valuations and revaluation in the City, the tax rate has decreased from $12.99 to $11.98 over the last five years. ● However, as noted on the previous slide, actual total property taxes (the Tax Levy) rose by $53M overall despite the drops in the tax rate. ● From FY25 to FY26 tax rate dropped by approximately 25% after completion of the FY26 revaluation. Page 8 Assessment Data from City Tax Assessor “Total Taxable Value” Each year the City Tax Assessor commits property taxes based on the total taxable property value in the City of Portland. Total taxable property value refers to the dollar amount of all property value that is subject to property taxes after all eligible exemptions and deductions have been applied. This ﬁgure rose signiﬁcantly in FY26 as a result of the most recent property revaluation. FY25 Total Taxable Value: $15,153,264,507 FY26 Total Taxable Value: $20,099,365,123 Total Taxable Value Increase: Page 9 $4,964,100,616 Assessment Data from City Tax Assessor “Median Home Value” The median is defined as the middle number in a sorted list of numbers. To find the median, you arrange the data points from smallest to largest and identify the central number. When we arrange all of the values of the taxable homes in the City, the median home value (the central number in our list) rose significantly as a result of the revaluation: Median Home Value (pre-revaluation): $396,700 Median Home Value (post-revaluation): $566,600 Increase ($): $169,900 Increase (%): 42.8% Page 10 Assessment Data from City Tax Assessor: Property Tax on Median Home FY25 to FY26 Using the FY25 and FY26 median home values and property tax rates, we can calculate the increase in annual property tax bill for a median home. FY25 Median Home Value: $396,700 FY25 Tax Rate: $15.01 FY25 Median Home Tax Bill: ($369,700/1000) * $15.01 = $5,954 FY26 Median Home Value: $566,600 FY26 Tax Rate: $11.98 FY26 Median Home Tax Bill: ($566,600/1000) * $15.01 = $6,788 Property taxes on a median valued home in Portland increased by $834 (14%) from FY25 to FY26 Page 11 Additional Breakdown: FY26 Property Tax Increase The median property tax bill in FY25 was $5,954 We can calculate that $415 of the $834 increase in a median property tax bill was due to Council action (FY26 budget, voting to increase the property tax levy by $15.8M (6.965%) from $227.3M to $243.1M). $5,954 median home value * 6.965% tax increase = $415 School tax levy increase = $205 of the $415 City tax levy increase = $192 of the $415 County tax levy increase = $18 of the $415 Remaining $419 increase due to other factors, most notably a value shift from commercial property toPage residential 12 property. Affordability - City Council Priority for 2026? With a 14% increase on median homeowner property taxes in FY26, “Affordability” will be under heavy consideration as one of the 2026 City Council Common Goals. A broader affordability objective has not been part of City Council Common Goals since FY22. Council agreed in late 2021 to “Adopt a budget that factors in the capacity of City staff to do the work, taxpayers to pay for it, and its effects on small businesses.” Staff will seek guidance in early 2026 on what changes to the tax levy and impact to median homeowner are considered by each Councilor to be acceptable. Tax implications should be considered during the annual budget process AND during City Council workshops and Committee meetings on single issues, each of which has tax levy implications. Prioritization must occur and the overall picture and cumulative impacts should be communicated to Council frequently. Page 13 ● City balanced FY26 budget with use of $18M+ in one time funds. These funds will be unavailable in FY27. ● Cost of City provided social services, food service in shelters, combined grant losses. ● Expiring union contracts (or settlement at total costs significantly larger than CPI). Early Preview: Potential ● Major capital needs at several key City Budget Challenges FY27 buildings, short and long term. Although the complete picture is far from known, each year we have a number of budget challenges. The ● Declining interest rates/income. list at the right are some of the likely budget challenges which the City will be under discussion for ● Rising City contributions to Maine Paid the upcoming budget year. Family Leave program (0.5% - 1% of wages). ● Any unplanned City Council priorities / new Page 14 initiatives. FY26: Final Retirement of Pension Obligation Bonds - In 2021, the City issued $111.8M of pension obligation bonds. 10-15 years ago, the increasing pension obligation bond payments were considered the single biggest budget challenge the City has ever faced. - When the City makes the ﬁnal POB debt service payment of $22.3M on 6/1/25, we will have paid over $292.3M in total debt service over the life of the pension obligation bonds. Page 15 FY26: Final Retirement of Pension Obligation Bonds Although a $22.3M expenditure will be coming off the City’s books in FY27 (pension obligation bond debt service), the City will also be losing nearly an equal amount in revenues and one time funds used to stabilize property tax rates in FY26. Retirement of the POB (and loss of other one time revenues used to balance FY26 budget) will result in a near neutral impact to FY27 tax levy rather than a major positive budget driver. Page 16 Portland Senior Tax Equity Program (PSTEP) Review and Expansion Discussion See additional backup materials posted at the following link. Page 17 Payment-in-Lieu-of-Tax (PILOT) Policy Discussion and Committee Next Steps See additional backup materials posted at the following link. Page 18 Discussion of Future Committee Meeting Dates and Topics Page 19 Questions & Answers Contact finance@portlandmaine.gov Page 20 From: Brendan T. O’Connell - Finance Director To: Members of the Finance Committee CC: Danielle P. West, City Manager Date: September 11, 2025 Re: Finance Committee 2025 Work Plan Item: Exploration of Expansion of Portland Senior Tax Equity Program INTRO AND PROGRAM HISTORY In 2017, in an effort to help ease the burden of rising housing costs for the City's low income seniors, the City Finance Committee examined and recommended a Portland Senior Tax Equity Program (“P-STEP”). The program has been codified within Chapter 2 of Portland City Code and was modeled after similar senior tax relief programs in other local municipalities. The Portland program is the broadest in the region and includes the lowest age restriction (62) of any municipality in Maine, no income restrictions beyond qualification for a tax credit under the Maine Property Tax Fairness Credit program, and has no restrictions based on length of residency or receipt of the homestead exemption. In the seven fiscal years since the program has launched, the program has been a success. It has seen nearly 40% annual growth, with payments rising from $66,567 in the first year to in excess of $440,000 in the most recently closed fiscal year. The most recent P-STEP budgeted amount ($300,000) was not sufficient to make payments due for FY25. However, the ordinance for the PSTEP permits staff to make pro-rata PSTEP payments if the amount of PSTEP funding requests exceeds available funds. The program allows the City’s Finance Director to find alternative funding sources to keep participant payments whole. Thankfully in FY25 the City had an operating surplus and we were able to make full payments to all program participants. However, with the rapid growth of the program and operating surpluses not being guaranteed, we recommend only expanding the program in the following ways. 1 Page 21 STAFF RECOMMENDATIONS - PORTLAND SENIOR TAX EQUITY PROGRAM EXPANSION 1) City staff recommends doubling the PSTEP program funding for the next operating budget year (FY27) from $300,000 to $600,000. This will ensure, even at the current rate of program growth of nearly 40% annually, that the City’s low income seniors will receive the full payments they are entitled to per the program guidelines. 2) Staff recommends continuing to increase available program funds annually by $200,000 in FY28 and FY29 until the program budget reaches $1,000,000 in funding. The nearly $700,000 in recommended expanded funding for the program, spread over three fiscal years, will be a manageable level of expansion for the City’s municipal budget to absorb over the period but will still increase the mill rate by an estimated 5 cents by FY29. Staff will report annually to the City’s Finance Committee on payments made under the program and recommend adjustments as needed to ensure adequate funding for the City’s low income seniors who qualify. 3) Staff recommends continued expansion of staff outreach efforts including liaising with both internal (Office of Elder Affairs) and external groups who work closely with Portland’s elderly population. The outreach effort will include several in person presentations on the program at various City locations, expanded media outreach, and a small allocation of program funds set aside for an additional mailing included with property tax billing. It is worth noting that staff is not recommending any changes to program age limits or any additional income restrictions. The Portland Senior Tax Equity Program has always been designed to assist low income senior residents and was intended to be a low barrier program. The City of Portland program has the lowest age restriction permissible under MRS Title 36 §6231. Additionally, the program has no additional income restrictions above and beyond those in the State PFTC program, no term of residency restrictions, and no requirement to have a “homestead exemption” in the City. Finally, no removal of the age limit is being recommended as it would have a significant impact on property tax rates. Based on information from Maine Revenue Services, expansion or removal of program age limitations would expose the City to a potential tax levy increase which could exceed $6,000,000 by the 2026 tax year. This would represent a 5.6% increase in the municipal portion of the tax rate even before any other needs of the City are considered as part of annual budgeting. 2 Page 22 Appendix A - Summary Data - Other Local Senior Tax Relief Programs and Age/Residency Requirements Note: The data above gathered by City staff in November 2024 3 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 Page 30 Page 31 Page 32 Page 33 Page 34 Senior Property Tax Assistance Application Applications are accepted beginning January 1. You must submit your application on or before April 30. Have you qualified to receive a tax credit under Maine Property Tax Fairness Credit program for last year? You must include a copy of your State Tax Return (1040ME) and Schedule PTFC with this application. If you did not qualify for the PTFC credit, you are not eligible for this program. PLEASE NOTE: Application is only valid for one tax year - you must apply every year. Credits will be applied to your current year property tax bill. If your taxes have been paid in full, or you are a renter, you will receive a refund check. The City may contact you to clarify information in this application or to provide more information; applications may be audited before or after refunds are issued. Please Print Name: ________________________________________________________________ First MI Last Date of Birth: _____________________________ Spouse/Partner Name: ____________________________________________________ First MI Last Spouse/Partner Date of Birth: _____________________________ Physical Address: __________________________________________________________ ___________________________________________________________ Mailing Address (if different): _________________________________________________ _________________________________________________ Phone Number: ______________________________________ Email: _____________________________________________ Please complete and sign the next page Page 35 YES NO 1. Is the applicant over 65 years of age or older as of _____ _____ April 30 of the current year? 2. Does the applicant currently own or rent a home in the City of South Portland at the time of application and for the entire 2 years prior to the date of application? _____ _____ 3. Has the applicant been a resident of the City of South Portland for at least 7 years out of the last 10 years preceding the date of application? _____ _____ 4. If the applicant owns a home, has an application for a Homestead property tax exemption been made? _____ _____ 5. What is the physical location of the property where you lived during the past calendar year (if different from address above) ________________________________________________ ________________________________________________ 6. If you were a renter last calendar year, list your landlord’s name and telephone number: _______________________________________________________________________ I believe, to the best of my knowledge, that the information in this application it is true, correct and complete. __________________________________ _______________________ Signature of Applicant Date __________________________________ ________________________ Signature of Preparer (if other than applicant) Date RETURN APPLICATION with required attachments to THE FINANCE DEPARTMENT AT CITY HALL, or MAIL TO: City of South Portland Finance Department Attn: Deputy Tax Collector 25 Cottage Road, South Portland, ME 04106 Page 36 If you have any questions or need assistance completing the application, please contact the Finance office at 767-7612, or email finance@southportland.org Frequently Asked Questions Does the applicant and spouse/partner have to be over the age of 65? No, as long as the one applicant is over the age of 65, the co-applicant can be under 65. What if I turn 65 later this year after the April 30 deadline? You must be 65 on or before April 30st to qualify for the current year’s program. What if I haven’t filed my State Income Tax forms yet (Form 1040ME)? You must wait until you have completed your 1040ME, including Schedule PTFC (Property Tax Fairness Credit) before you apply for the City’s program. What if I don’t file a tax return? If you are not required to file a tax return, just include the Schedule PTFC that you filed with the State for credit. Do I have to provide my phone number/email and what will it be used for? Yes, we must have way to contact you in case we have questions about your application. We will not give out your phone number or email to any other party or agency. Will I automatically be sent an application next year? Yes, if you qualified for a refund this year, we will automatically send you an application next January. Page 37 Page 38 Page 39 Finance Department 300 Main Street Saco, Maine 04072 SENIOR TAX ASSISTANCE PROGRAM Complete Application Deadline – July 1, 2025 INSTRUCTIONS The complete applications are due July 1, 2025. Please submit your applications early to give us time to review and contact you for any additional documentation. The Senior Tax Assistance Program provides property tax relief to low-income senior citizens who live in the City of Saco. To qualify, applicants must be 65 years of age or older and have lived in Saco for 10 consecutive years. Applicants must also have received a Maine Property Tax Fairness Credit for the 2024 income tax year prior to the application. If you do not qualify or did not receive a rebate under the State program, you will not be eligible for the City of Saco Senior Tax Assistance Program. Application instructions are below: 1. Fully complete the program application with information release form, 2. Attach a signed copy of your 2024 Form 1040ME 3. Attach a copy of your Schedule PTFC (Property Tax Fairness Credit – Line 25D) 4. Attach the Landlord and Rent Payment confirmation form (for renters) included with this packet. Return the application to: Senior Tax Assistance Program, 300 Main Street, Saco, ME 04072. Application deadline is July 1, 2025. You must complete an application annually to participate in the program. Program is subject to council approval on a yearly basis. You must receive the State Property Tax Fairness Credit for the previous tax year to be eligible for the City of Saco program. Age Friendly Saco can be reached at 207-710-5029 and is happy to assist with preparation of applications for both programs. If you need any assistance, please contact the Finance Department at (207) 283-3303. Page 40 Finance Department 300 Main Street Saco, Maine 04072 SENIOR TAX ASSISTANCE PROGRAM Complete Application Deadline – July 1, 2025 General Information Name: First __________________ Middle ________ Last ______________________________ Age: _______ Property Address: ___________________________________________________________________________ Mailing Address (if different from above): _______________________________________________________ Number of years living at above address: Number of years living in Saco: _____________________ Phone Number: _____________________________ Email address:____________________________________ Map and Lot number as it appears on Tax Bill: Map: Lot: Please answer the following questions: YES NO Has the applicant paid taxes, or rent, on a primary residence in the City of Saco at the time of application and for ten (10) years prior to the date of application? Has the applicant filed Form 1040ME and received the State of Maine Property Tax Fairness Credit (PTFC) for 2024? Amount in Line 25D. Will the applicant be at least 65 years old as of April 1, 2025? If a property owner, has applicant applied for the Homestead Exemption? If a property owner, has the applicant paid property taxes due through July 1, 2025? I hereby authorize Maine Revenue Services (MRS) to provide information relative to my 2024 Maine Residents Property Tax Fairness Credit to the City of Saco. I understand that the information provided by MRS will include verification of age and full amount of the credit for which I was eligible through the state program. MRS will provide the credit information only if this form has been signed by the refund recipient. The information provided is intended to be used solely for the purpose of determining my eligibility under the City of Saco's Senior Tax Relief Ordinance (Chapter 175). The City of Saco agrees upon receipt of this form and under penalties of applicable law to hold all taxpayer information contained in this form in strict confidence under applicable laws and to use the information contained in this form strictly for the purposes stated herein. Signature Social Security # I declare that I have examined this application and to the best of my knowledge and belief, it is true, correct, and complete. Signature of Applicant Date If you need any assistance, please contact the Finance Department at (207) 283-3303. Page 41 Finance Department 300 Main Street Saco, Maine 04072 SENIOR TAX ASSISTANCE PROGRAM Complete Application Deadline – July 1, 2025 Landlord and Rent Payment Confirmation PLEASE PRINT LEGIBLY Applicant's Name: ____________________________________________________________ Landlord's Name:____________________________________________________________ Landlord Phone Number: ______________________________________________________ Mailing Address of Property Being Rented: Number of years living at above address: ______ Rent paid per month: ________________ Amount of rent paid by tenant to Landlord during 2024: ____________________________ Signature of Applicant: ___________________________________ Date: _______________ Signature of Landlord: ___________________________________ Date: _______________ Page 42 Page 43 Dear Resident, You are receiving this letter and application form because you have applied for Scarborough’s “Property Tax Assistance Program” in the past, or have requested an application. The Assessor’s office will not keep any confidential records; however, we do need to see them for verification. The three main qualifications are: 1. Applicant is age 62 or older by the application deadline 2. Applicant has been a Scarborough resident for at least 10 years by October 15, 2025 3. Federal Adjusted Gross Income (household) does not exceed $60,000 As a reminder, please ensure that you have the necessary documents to show that you meet the qualifications for the program. When you submit your application, we will need to see identification and proof of income, either your 2024 Tax Return or your year-end 2024 Social Security Benefit Statement if you don’t file taxes. If you rent, we will also need a statement of rent paid between July 1, 2024 and June 30, 2025. To receive a benefit from the Town of Scarborough’s Property Tax Assistance Program, you must meet the eligibility criteria listed above and your property tax burden must exceed 5% of your Federal Adjusted Gross Income. For residents who rent, including owners of properties within a Manufactured Home Park, rent paid is considered part of your property tax burden. Please return the completed application to the Assessor’s office no later than October 15, 2025. Checks are mailed by December 15, 2025. If you have any questions, please call (207) 730-4060 or email mcellucci@scarboroughmaine.org. Sincerely, Nicholas Cloutier, CMA Assessor Town of Scarborough [See Reverse Side for Property Tax Assistance Program Application] Assessing Department 259 US Route One | PO Box 360 | Scarborough, Maine 04070 | P: 207.730.4060 | scarboroughmaine.org Page 44 Acct: ________ Dept Approval: ________ Property Tax Assistance Program – Owner Determination of Eligibility and Benefits for Property Taxes Assessed as of April 1, 2024 Application Deadline – October 15, 2025 Name of Owner(s): __________________________________________ Phone: ___________________ Property Address: ___________________________________________ E-Mail: ___________________ Mailing Address, if different: ____________________________________________________________ Please note that you need to provide identification and proof of income, either your 2024 Tax Return or, if you do not file taxes, your year-end 2024 Social Security Benefit Statement. NOTE: If applicable, you must also provide a statement of rent paid. ***** FOR ASSESSOR’S USE ONLY ***** Date of Birth: _______________________ (applicant is 62 as of 10/15/2025, born on/before 10/15/1963)  ME Driver’s License/ID  Passport  Other:_____________________________ Proof of Residency: (applicant has been a resident of Scarborough for 10+ years as of 10/15/2025)  Assessing Record  Rental Agreement  Other:_____________________________ Proof of Income:  2024 Tax Return  2024 Year-End Social Security Benefit Statement  Other:______________________ 1. Federal Adjusted Gross Income ………………………………………………………………. __________________________ 2. Income of Other Adults in Household* *Includes all adults with income residing at the property address…….. __________________________ 3. Total Income Line 1 plus Line 2………………………………………………………………………………… __________________________ 4. Income Limit If Line 3 exceeds Line 4, not eligible $60,000 5. Benefit Threshold 5% of Line 3……………………………………………………………………………………….. __________________________ 6. Real Estate Tax Assessed July 1, 2024 through June 30, 2025…………………………………………………….. __________________________ 7. MH Park Rent Paid (If Applicable) July 1, 2024 through June 30, 2025…………………………………………………….. __________________________ 8. Tax Attributed to Rent 18% of Line 7……………………………………………………………………………………… __________________________ 9. Total Tax Attributable to Property Line 6 plus Line 8……………………………………………………………………………….. __________________________ 10. Excess of Tax Assessed over Benefit Threshold Line 9 minus Line 5…………………………………………………………………………….. __________________________ If Line 9 does not exceed Line 5, not eligible 11. Benefit Cap $1,000 12. Benefit Determined (Checks mailed by 12/15/2025) Lesser of Line 10 or Line 11…………………………………………………………………. __________________________ Oath: I certify that the information contained herein is accurate to the best of my knowledge and belief, under penalties of perjury. Signed: _______________________________________________________________ Date: _______________ Approved: _____________________________________________________________ Date: _______________ Page 45 Dear Resident, You are receiving this letter and application form because you have applied for Scarborough’s “Property Tax Assistance Program” in the past, or have requested an application. The Assessor’s office will not keep any confidential records; however, we do need to see them for verification. The three main qualifications are: 1. Applicant is age 62 or older by the application deadline 2. Applicant has been a Scarborough resident for at least 10 years by October 15, 2025 3. Federal Adjusted Gross Income (household) does not exceed $60,000 As a reminder, please ensure that you have the necessary documents to show that you meet the qualifications for the program. When you submit your application, we will need to see identification and proof of income, either your 2024 Tax Return or your year-end 2024 Social Security Benefit Statement if you don’t file taxes. If you rent, we will also need a statement of rent paid between July 1, 2024 and June 30, 2025. To receive a benefit from the Town of Scarborough’s Property Tax Assistance Program, you must meet the eligibility criteria listed above and your property tax burden must exceed 5% of your Federal Adjusted Gross Income. For residents who rent, including owners of properties within a Manufactured Home Park, rent paid is considered part of your property tax burden. Please return the completed application to the Assessor’s office no later than October 15, 2025. Checks are mailed by December 15, 2025. If you have any questions, please call (207) 730-4060 or email mcellucci@scarboroughmaine.org. Sincerely, Nicholas Cloutier, CMA Assessor Town of Scarborough [See Reverse Side for Property Tax Assistance Program Application] Assessing Department 259 US Route One | PO Box 360 | Scarborough, Maine 04070 | P: 207.730.4060 | scarboroughmaine.org Page 46 Acct: ________ Dept Approval: ________ Property Tax Assistance Program – Renter Determination of Eligibility and Benefits for Property Taxes Assessed as of April 1, 2024 Application Deadline – October 15, 2025 Name of Applicant(s): ________________________________________ Phone: __________________ Property Address: ___________________________________________ E-Mail: ___________________ Mailing Address, if different: ____________________________________________________________ Please note that you need to provide identification and proof of income, either your 2024 Tax Return or, if you do not file taxes, your year-end 2024 Social Security Benefit Statement. Additionally, you must also provide your rental agreement and a statement of rent paid. ***** FOR ASSESSOR’S USE ONLY ***** Date of Birth: _______________________ (applicant is 62 as of 10/15/2025, born on/before 10/15/1963)  ME Driver’s License/ID  Passport  Other:_____________________________ Proof of Residency: (applicant has been a resident of Scarborough for 10+ years as of 10/15/2025)  Assessing Record  Rental Agreement  Other:_____________________________ Proof of Income:  2024 Tax Return  2024 Year-End Social Security Benefit Statement  Other:______________________ 1. Federal Adjusted Gross Income ………………………………………………………………. __________________________ 2. Income of Other Adults in Household* *Includes all adults with income residing at the property address…….. __________________________ 3. Total Income Line 1 plus Line 2………………………………………………………………………………… __________________________ 4. Income Limit If Line 3 exceeds Line 4, not eligible $60,000 5. Benefit Threshold 5% of Line 3………………………………………………………………………………………… __________________________ 6. Rent Paid in Scarborough July 1, 2024 through June 30, 2025…………………………………………………….. __________________________ 7. Tax Attributed to Rent 18% of Line 6………………………………………………………………………………………. __________________________ 8. Excess of Tax Assessed over Benefit Threshold Line 7 minus Line 5……………………………………………………………………………… __________________________ If Line 8 does not exceed Line 5, not eligible 9. Benefit Cap $1,000 10. Benefit Determined (Checks mailed by 12/15/2025) Lesser of Line 8 or Line 9……………………………………………………………………… __________________________ Oath: I certify that the information contained herein is accurate to the best of my knowledge and belief, under penalties of perjury. Signed: _______________________________________________________________ Date: _______________ Approved: _____________________________________________________________ Date: _______________ Page 47 Page 48 Page 49 Dear Resident, Thank you for your interest in Cape Elizabeth’s “Property Tax Assistance Program”. When bringing in your application, please ensure that you bring the necessary documents to show that you meet the qualifications for the program. The Assessor’s office will not keep any confidential records but we do need to see them for verification. The three main qualifications are: 1). Applicant is age 65 or older by the application deadline; 2). Applicant has been a Cape Elizabeth resident for 10 years or longer by the application deadline; 3). Federal Adjusted Gross Income (household) is less than $70,000. If you do not file Federal income taxes, you can bring in your assembled income information (typically your Social Security Earnings Statement) to the Assessing Department. We can review the information to determine if you qualify and assist you in filing your application. To receive a benefit from the Town of Cape Elizabeth’s Property Tax Assistance Program, you must meet the eligibility criteria listed above and your property tax must exceed 5% of your Federal Adjusted Gross Income. Please return the completed application to the Assessor’s office no later than November 18, 2024. If we can assist you further please call at (207) 799-1619 or email Clinton.swett@capeelizabeth.org. Sincerely, Clinton J. Swett, Town Assessor CMA #722-2 320 Ocean House Road Cape Elizabeth, Maine 04107 Email clinton.swett@capeelizabeth.org Telephone (207) 799 – 1619 *** BENEFIT UPDATE*** Town Council is in the final stages of INCREASING the reimbursements for this program, based on the household income level. It will be a 3-tier approach with each tier receiving the following benefit: INCOME BRACKET BENEFIT $0 TO $30,000 $ 1,500 $30,001 TO $50,000 $ 1,000 $50,001 TO $70,000 $ 750 Page 50 Date Received: TOWN OF CAPE ELIZABETH 2025 Senior Tax Assistance Program For Property Tax Assessed as of April 1, 2024 Application Deadline – November 18, 2024 ________________ ______________________________ Applicant’s Name Signature and Today’s Date _____________________________ Date of Birth _____________ ______________________________ Spouse’s Name Signature and Today’s Date _____________________________ Applicant’s Date of Birth __________________________ Daytime Telephone Number Property Location PLEASE TURN PAGE OVER AND FILL OUT OTHER SIDE Page 51 TOWN OF CAPE ELIZABETH 2025 Senior Tax Assistance Program For Property Tax Assessed as of April 1, 2024 Application Deadline – November 18, 2024 Please provide documentation for sections 1 through 3 1. Federal Adjusted Gross Income from filed Federal Tax return form 1040, 1040- Provide copy of 1st page of 2023 Income Tax A, or 1040-EZ Return 2. Social Security Benefit Statement (if Provide copy Social Security Benefit Statement you do NOT file Federal Income Taxes) (if you do NOT file Income Taxes) 3. Additional Income of other adults in Circle household? YES or NO If YES, how much income?_$__________ LAND VALUE APPROVED □ DENY □ BLDG VALUE Reason if denied? TOTAL EXEMPTS TAXABLE VALUE TAXES Clinton Swett, Assessor MAP/LOT UNIQUE 2024 ACCT No# Patriot PID# Please return this application to the Assessing Department (2nd floor of the Town Hall). This application is considered CONFIDENTIAL and not subject to public viewing. If you have any questions, please contact the Assessor, Clinton Swett at (207) 799-1619 or email at CLINTON.SWETT@CAPEELIZABETH.ORG. Page 52 TOWN OF CAPE ELIZABETH Explaining the Senior Tax Relief Program Parameters of the program: Age 65 years or older Property Owner for… 10 years or more Homestead Exemption Already receiving it Federal Adjusted Gross Income $70,000 or less Benefit Cap Between $750 and $1,500 (based on income) Taxes Exceed 5% of Federal Adjusted Gross Income Application date November 18, 2024 Assessor report to Council on 1st Council Meeting in December Checks to applicants by End of January 2025 1. What is this program? It allows seniors to receive between $750 and $1,500 in rebates for property taxes paid last year, based on house hold income 2. Who can apply? Applicants need to be at least 65 years of age and reside in Cape Elizabeth for 10 years. The test for eligibility then looks at how much of an applicant’s income (5%) has to be paid in property taxes. For every dollar the property taxes are more than 5% of income a rebate is paid. A new application MUST be submitted each year, this is to verify if there are any changes in annual income. 3. When will I receive my check? If you are eligible to receive a rebate, a check will be mailed to you by the end of January of 2025. 4. Why was 5% of income chosen as a threshold for creating eligibility? Relying upon the judgements underlying the State’s successful earlier program, any percentage in the 4-6% range is probably appropriate as a limit on how much of an applicant’s income should go to property tax. 5. Why was $70,000 chosen as an income gap? Several benchmarks were considered. The median household income of people 65 years and older is approximately $59,700, based on Federal numbers. Scarborough, our neighbor to the South with a similar program, uses $50,000 as their income gap. 6. So a person with income just over $70,000 gets no benefit? The draft does cut off eligibility. This is somewhat inequitable but the formula as proposed has a progressive element (higher income levels require higher tax obligations). Page 53 7. Why was Federal Adjusted Gross Income (AGI) chosen? The premise was to use a suitable number that nearly every applicant would have. Federal AGI is the simplest of the readily available numbers and is much simpler than Maine AGI. It is anticipated that few, if any recipients, will have sources of income that escape Federal AGI and staff can monitor for any anomalies. 8. Please explain the graduated scale of income and the different caps. The Town Council has added a graduated scale of benefits based on income. For household income Between zero and $30,000 your benefit would be $1,500 Between $30,001 and $50,000 your benefit would be $1,000 and Between $50,001 and $70,000 your benefit would be $750. 9. Are renters and persons not filing tax returns covered? YES! For renters the same formula applies using 18% of rent (the State figure proposed) as their “property taxes”. The State of Maine requires that renters must be included in this program. As a practical matter, few renters are expected to be 65 and 10 years residents. Rent subsidies cannot be used to qualify. Non-filers only need to show their W-2’s and 1099’s to allow the Assessor to calculate the Federal AGI. 10. Will the new program be too complicated to manage with our limited resources in Assessing? The formula focuses on simplicity. It uses information that is readily available to applicants and is easily calculated by the Assessor. No sensitive documents will be or need to be retained by the town. If you have additional questions, please contact the Assessor, Clinton Swett, at (207) 799-1619 or email Clinton.swett@capeelizabeth.org. Page 54 City of Portland | Office of the Mayor and City Council To: April Fournier, Chair and members of the Finance Committee From: Kate Sykes, Councilor Dist. 5 Date: Sep 6, 2025 RE: P‑STEP Expansion Discussion Background The Portland Senior Tax Equity Program (P‑STEP), adopted in 2017, was created to ease the burden of rising housing costs for low-income seniors. The program is structured to support recipients of the Maine Property Tax Fairness Credit and is designed to supplement state-level relief efforts. As part of the FY25 Finance Committee work plan, P‑STEP expansion is under consideration at the request of several current Councilors, including myself. This memo provides policy context and a suggested framing for a phased expansion over five years. Why Expansion, and Why Now? 1. Residential Revaluation Has Created Disparities Portland’s 2025 citywide revaluation significantly increased the taxable value of residential properties by 43% on average. Commercial properties rose by only 19%. This gap structurally shifts the tax burden toward individual homeowners. Even with a reduced FY26 mil rate of $11.98, many low- and middle-income households will experience increases in tax bills despite no increase in their income. 2. Property Tax is Not an Income-Based System While revaluation itself does not raise revenue, it redistributes the tax burden. Without a tool like P‑STEP, that redistribution risks reinforcing existing inequities. P‑STEP is one of the only available tools the City has to introduce income sensitivity into our system. 3. Now Is the Right Political Moment Tax bills are arriving in mailboxes as we meet. Expanding P‑STEP shows that local government can take meaningful action in the face of state and federal tax policy that continues to reward wealth while burdening working-class households. 389 Congress Street, Portland, Maine 04101 | 207-874-8300 | council@portlandmaine.gov 1 Page 55 Proposed Path: A Phased Expansion Over Five Years This phased approach gradually removes the age restriction while increasing outreach and public awareness. Year 1 (FY27): Lower eligibility age from 62 to 58. Begin outreach to newly eligible households and underrepresented current-eligible populations, including renters. Year 2 (FY28): Lower eligibility to age 54. Expand multilingual, neighborhood-based outreach in high-rent-burden areas. Year 3 (FY29): Lower eligibility to age 50. Integrate P‑STEP messaging with other City housing and assistance programs. Year 4 (FY30): Remove age requirement; all income-qualified households eligible via the Maine Property Tax Fairness Credit become eligible. Year 5 (FY31): Stabilize funding and evaluate impact. Consider administrative refinements and rebate adjustments. Request to Staff: Mil Rate Modeling If the Finance Committee wishes to pursue this expansion, the next step would be for staff to model what mil rate adjustments would be required to fund full rebates for all households eligible under an expanded P‑STEP program—including renters and non-seniors—using the Maine Property Tax Fairness Credit as the eligibility benchmark. This analysis should assume revenue neutrality and draw on data from the past three fiscal years. Conclusion We need this expansion because Portland’s property tax system is structurally blind to income. Revaluation improves equity between properties, but it does not account for the lived economic reality of Portlanders whose incomes have not kept pace with the value of their homes. P‑STEP offers the City a local mechanism to mitigate these effects in a fair, targeted, and fiscally responsible way. This proposal does not require new spending. It is designed to be revenue-neutral, redistributing existing property tax burdens in a way that prioritizes those most in need of relief, while asking more of those most able to contribute. 389 Congress Street, Portland, Maine 04101 | 207-874-8300 | council@portlandmaine.gov 2 Page 56 CITY OF PORTLAND, MAINE PAYMENT IN LIEU OF TAXES POLICY (PILOT) DRAF T Revised: September 1, 2025 Effective: TBD Page 57 Table of Contents 1. PURPOSE.................................................................................................................................................. 1 2. THE NEED FOR A FORMAL PILOT POLICY.................................................................................................1 3. FIVE BASIC PRINCIPLES OF THE PILOT POLICY......................................................................................... 3 4. IS THE PILOT POLICY APPLICABLE TO MY ORGANIZATION?.................................................................... 5 5. CALCULATION OF PILOT PAYMENT DUE...................................................................................................5 6. SERVICES IN LIEU OF TAXES (SILOT) CREDIT.............................................................................................7 7. ANNUAL BILLING AND FIVE-YEAR PHASE IN (FY20-FY24)....................................................................... 8 8. GUIDANCE FOR CITY STAFF – ENCOURAGING PARTICIPATION IN THE PILOT PROGRAM AND ANNUAL REPORTING ON PILOT.................................................................................................................................. 9 DR APPENDIX A - EXAMPLES OF PILOT PAYMENTS DUE BY EXEMPT PROPERTY VALUE……………………………11 AFT Page 58 City of Portland Payment in Lieu of Taxes Policy (PILOT) 1. PURPOSE In order to maintain the high standard of municipal services that Portland has historically provided, the City Council has established a policy for PILOT (Payment-In-Lieu-of-Tax) contributions from tax-exempt property owners (referred to hereafter as “exempt property” owners). The purpose of this PILOT policy document is to summarize the uniform policy to be applied to the exempt properties within the City. The policy is intended to provide clarity to exempt organizations who wish to locate in Portland. The policy includes monetary payments and consideration of other services provided by exempt organizations. The policy also provides guidance for City staff when approached with questions about PILOT policy requirements. 2. THE NEED FOR A FORMAL PILOT POLICY DR According to the City Tax Assessor, the amount of tax-exempt real estate within the City of Portland has risen to approximately $3.93 billion dollars as of June 30, 2025. Tax-exempt property values are often understanded due to the lack of focus on exempt property during annual assessments. If the nearly $4B of parcels were taxable, they would represent at least a AF 20% increase to our taxable net valuation. The rise in exempt valuation has put increasing pressure on the remaining property owners in Portland (referred to hereafter as “non-exempt property” owners) to fully fund the broad spectrum of services offered to all residents and T visitors to Portland. The City recognizes that non-profit organizations contribute directly to the quality of life within the community and welcomes these organizations. Portland has historically been recognized as a leader in Maine in the area of higher education, arts and culture, social services, public health, equity and religious freedom. The City’s location, status as the economic engine of Northern New England, located just under 2 hours north of Boston, with easy access via major highway, bus, rail, and jetport, makes it attractive for non-profit institutions. This demand for land and buildings to operate non-profit organizations has absorbed significant amounts of taxable property within the City in recent years. A continuing shift in tax burden to a diminishing tax Revised: September 1, 2025 Page 1 Page 59 City of Portland Payment in Lieu of Taxes Policy (PILOT) base will have a negative impact on residents, local businesses and the overall Greater Portland community. In order to maintain the financial health of the community as a whole and to continue to provide a range of quality services, the City must set an objective to maintain its existing tax base and expand it where reasonably possible. Strong PILOT policies have been used in municipalities nationwide to achieve this objective. Several key reasons noted for adoption of strong PILOT policies are listed below. ● With an increasing amount of exempt property within a City, nonprofits should share in the cost of basic services which benefit them. Police, fire protection, and road maintenance are the costs most frequently allocated to exempt property owners in other municipalities. DRAF ● A strong PILOT policy has the potential to help ease the tax burden on non-exempt property owners, and create a more equitable distribution of the tax levy across those who consume core City services. ● PILOT policies can help address inequities created by tax exemptions (i.e., the greatest tax savings goes to organizations who have the most valuable property holdings). T ● PILOT policies can reduce inefficient location decisions made by nonprofits (i.e., exempt status creates an incentive for nonprofits to locate in cities where the tax savings are highest and the public services provided by the jurisdiction are broadest). Revised: September 1, 2025 Page 2 Page 60 City of Portland Payment in Lieu of Taxes Policy (PILOT) 3. FIVE BASIC PRINCIPLES OF THE PILOT POLICY I. Participation in the PILOT Program is voluntary Consideration was given to seeking an ordinance change to require PILOT payments and ensure more uniform participation. However, any attempt to impose a legal or statutory requirement would face significant opposition and runs counter to the spirit of partnership between the City and its local institutions that a successful PILOT program would provide. II. PILOT should be applied equally to all current and future non-profit groups in Portland DRAF All non-profit institutions should participate in the PILOT program. While significant focus has been placed on the City’s medical and educational institutions, the City’s museums, cultural facilities, and other significant non-profits share a similar interest in the City. While broad participation is essential to the program’s success, the City has determined T III. that an exception should be made for smaller nonprofits which may lack the resources to fully engage in the PILOT process. In response to significant feedback from the community regarding impact of a program on small non-profits, an exemption of $10 million in assessed property value has been added into the PILOT policy. An exemption of this amount will be applied to all organizations under this policy, eliminating the PILOT completely for the smaller institutions, while mitigating the financial impact of PILOT payments on institutions just beyond this threshold. PILOT contributions should offset cost of basic City services: Revised: September 1, 2025 Page 3 Page 61 City of Portland Payment in Lieu of Taxes Policy (PILOT) PILOT contributions should be based on the value of real estate owned by an institution. This approach both reflects the size and quality of the institution’s real estate holdings and is consistent with the approach taken for taxable properties. PILOT policies nationwide set contribution levels at an amount designed to cover the portion of the tax levy related to basic and core City services. For purposes of this PILOT, those services have been designated as public safety services (police and fire) and basic infrastructure services including public spaces maintenance and snow removal. To enhance predictability for organizations impacted by the policy, and to prevent significant year over year fluctuations in base amount, the PILOT contribution level has been set at 40% of the regular property taxes due. However, there are additional DR IV. AF potential PILOT credits and a phase-in period as outlined in IV and V below. PILOT policy includes a SILOT (Services In Lieu of Taxes) deduction up to 50% Community benefits are an important aspect of an institution’s contribution to the City. Institutions may receive up to a 50% PILOT deduction for qualifying community programs and services that uniquely benefit Portland residents. In the case of T V. exceptional opportunities for partnership, the 50% cap may be exceeded. Institutions may also receive a credit on their PILOT in the amount of real estate taxes paid on properties that would ordinarily qualify for a tax exemption based on use, as well as a credit for costs paid which would otherwise be paid. Section 6 of this document contains more detail on criteria for the SILOT deduction. The new PILOT formula should be phased in over a 5-year period starting in FY 2027 While the payments currently made by some institutions approach the levels indicated by the program levels recommended above, most institutions fall below the Revised: September 1, 2025 Page 4 Page 62 City of Portland Payment in Lieu of Taxes Policy (PILOT) recommended amounts. Institutions will require time to make the necessary adjustments in their budget and financial plans to accommodate increased PILOT amounts. To ensure a smooth transition, staff recommends that the new formula be phased in over a time period of not less than 5 years. VI. The new PILOT formula should factor in other voluntary payments or required service fee payments to the City Many nonprofits make fully voluntary, non-required contributions to the City on an annual or recurring basis. These payments should be deducted from the PILOT amounts DR that would normally be due. Similarly, any required payments under MRS Title 36 M.R.S. § 508 “Service Fees” should also be deducted from the PILOT amounts that would normally be due. 4. IS THE PILOT POLICY APPLICABLE TO MY ORGANIZATION? AF All tax-exempt organizations are encouraged to participate in the PILOT policy. As noted previously an exemption amount of $10M will be applied to all organizations under this policy, eliminating the PILOT completely for the smaller institutions, while mitigating the financial T impact of PILOT payments on institutions just beyond this threshold. These exempt organizations will be noted in the PILOT Policy Annual Results published each fiscal year. 5. CALCULATION OF PILOT PAYMENT DUE PILOT contributions are based on the value of real estate owned by an institution. The calculation of recommended PILOT payment due can be determined as follows: Step 1: Begin with total assessed value of exempt property owned by an organization Step 2: Subtract the $10M of PILOT exemption Step 3: Divide by $1000 (the mil rate is applied per $1000 of assessed value) Revised: September 1, 2025 Page 5 Page 63 City of Portland Payment in Lieu of Taxes Policy (PILOT) Step 4: Multiply by the current City of Portland fiscal year mil rate Step 5: Multiply by 40% Community Benefit Credit: Subtract any agreed upon SILOT credit (see Section 6 for more details on SILOT) up to a further 50% deduction from amount due. The calculation begins with 100% of an exempt property owner’s assessed value related to their exempt property only (i.e., non-exempt property is already included in the regular property tax billing and should be excluded from the PILOT calculation). The $10M of PILOT exemption should be subtracted from this total, and the remaining total should be divided by $1000. The result should be multiplied by 40% to determine the PILOT amount due. The 40% represents DR the cost of the City’s “core” services which are public safety (Police, Dispatch and Fire Departments) and basic public spaces maintenance / winter operations. After any phase in period, the PILOT payment due could be further reduced by any available SILOT (Services-in-lieu-of-taxes) credit which has been applied to the exempt organization by the City. AF SILOT credits are not guaranteed to every organization and are calculated on a case by case basis by the City. The SILOT credit may not exceed 50% of the total amount of the PILOT due. See the SERVICES IN LIEU OF TAXES (SILOT) CREDIT section for complete details on SILOT criteria T and calculation. 6. SERVICES IN LIEU OF TAXES (SILOT) CREDIT In consideration of the community benefits of the exempt organization within the City, the PILOT policy includes a deduction for services provided. A list of items which could qualify for SILOT credit are listed below. In general, only activities which are outside an exempt organization’s core mission would be considered for SILOT credit. However, exceptions will be considered when a direct benefit to City of Portland residents can be reliably measured. An exempt entity will have an opportunity on an annual basis to outline their SILOT contributions Revised: September 1, 2025 Page 6 Page 64 City of Portland Payment in Lieu of Taxes Policy (PILOT) via a standard form distributed with the estimated PILOT bill. Participation in City Initiatives ● Targeted scholarships for Portland residents ● Summer Job Creation / Youth Employment ● Set Up Health Disparities Initiative Policy Based Collaborations ● Public/Community Health Initiatives ● Partnerships with Local Schools ● Job Training Initiatives ● Direct support on City Council Goals / participation on Task Forces DR Other Direct Contributions AF ● Real Estate Taxes on Property Used for Institutional Purposes ● Donations to City capital projects or initiatives ● Donations in kind (e.g., real estate, personal property) ● Provision of services otherwise provided by the City (e.g., snow removal on public right of way, maintenance of a public facility, security services provided in public areas) Good Neighbor Activities ● Volunteer Efforts of Students/Employees T ● Sponsorships of local organizations Revised: September 1, 2025 Page 7 Page 65 City of Portland Payment in Lieu of Taxes Policy (PILOT) A non-comprehensive listing of items which would NOT qualify for SILOT credit is below: ● Real Estate Taxes on Property used for Non-institutional Purposes ● Linkage Payments ● Permit Inspection Fees ● Student Spending ● Salaries Paid to Employees ● Construction Costs ● Purchase of Goods, Services ● Grants Received / Outside Money ● Operating Support for Community Health Clinics ● Unreimbursed Medicare or Medicaid If an exempt property owner is considering a formal PILOT payment to the City and would like DR SILOT credit, the Finance Department should be contacted to begin the process. 7. ANNUAL BILLING AND FIVE-YEAR PHASE IN (FY27-FY31) AF Annual Billing The annual billing for the PILOT will be performed by City staff. PILOT bills will be sent on a semiannual basis on a schedule similar to regular property tax billing – typically PILOT bills will T be sent in July of each fiscal year. A SILOT credit application will also be enclosed with the PILOT bill and each exempt organization will have 30 days to complete and return form. The City will review the forms and notify each organization of SILOT credits received – including a revised PILOT bill for the current fiscal year. PILOT payments will be due on the regular property tax payment dates – typically the second Friday in October and March of each year. Five Year Phase In – New PILOT Agreements For any exempt organizations impacted by this policy, who currently exist in the City and are remaining in their existing locations, a five-year phase in is permitted. The amounts due in the Revised: September 1, 2025 Page 8 Page 66 City of Portland Payment in Lieu of Taxes Policy (PILOT) first five tax years of the new program are listed below and should be calculated based on Step 1 through Step 5 in the Calculation of Amount Due section above. In future fiscal years, the payment calculation could remain at 50% of the normal PILOT amount due assuming that a full community benefit credit is received. FY27 – 10% of the normal PILOT amount FY28 – 20% of the normal PILOT amount FY29 – 30% of the normal PILOT amount FY30 – 40% of the normal PILOT amount FY31 – 50% of the normal PILOT amount DR For any NEW exempt organizations seeking to locate within the City or Portland the full PILOT amount is due in FY27. For exempt organizations who currently exist within the City and are seeking to expand their footprint within the City, the full PILOT policy would be due in FY27 on AF any new property acquired. 8. GUIDANCE FOR CITY STAFF – ENCOURAGING PARTICIPATION IN THE PILOT PROGRAM AND ANNUAL REPORTING ON PILOT PAYMENTS T Several common transactions should be used as opportunities for City staff to inform exempt organizations about the PILOT policy and in some cases encourage participation. Property Sale – Where conversion to exempt property Strongly encourage signing of a new PILOT agreement, present policy along with standard agreement. Building Permit – Where conversion Strongly encourage signing of a new PILOT agreement, to exempt property Zoning Amendment Request present policy along with standard agreement. Strongly encourage signing of a new PILOT agreement, present policy along with standard agreement. Site Plan Review Inform of PILOT policy – present copy of document Revised: September 1, 2025 Page 9 Page 67 City of Portland Payment in Lieu of Taxes Policy (PILOT) Passage of Formal Pilot Policy / Notify all potentially impacted exempt organizations Amendments to PILOT Policy Finally, the Finance Department along with the Assessors Department will publish a PILOT Annual Report each fiscal year noting the complete listing of exempt organizations who have been sent a PILOT letter, noting any PILOT contributions received, and any SILOT credits granted. DRAFT Revised: September 1, 2025 Page 10 Page 68 City of Portland Payment in Lieu of Taxes Policy (PILOT) Appendix A - Examples of PILOT Payments Due by Exempt Property Value As a reminder, the PILOT amount due can be calculated as follows: 1) Begin with the total exempt assessed value of an organization 2) Subtract the amount of PILOT exemption from the assessed value 3) Divide by $1,000 (the mill rate is applied per $1,000 of assessed value) 4) Multiply by the current City of Portland fiscal year mill rate (FY26 is $11.98) 5) Multiply by the amount of the portion of the regular tax rate dedicated to basic services (proposed in 2017 as 25%, will be adjusted in current version of policy for current cost of police, fire, dispatch and public works services) 6) Prorate the amount due based on the proposed phase in - 10% in Year 1, 20% in Year 2, 30% in Year 3, 40% in Year 4, 50% in Year 5 (and beyond, assuming community benefit criteria is met). DRAFT Revised: September 1, 2025 Page 11 Page 69 Payment In Lieu of Taxes Policy Approved: March 8, 2021 Effective: March 8, 2021 Page 70 A. Purpose, Legal Basis, and Applicability Exemption from tax status is governed by 36 M.R.S.A. § 652. Service Charges may be billed to tax exempt properties that are used to provide rental income per 36 M.R.S.A §508. Under Chapter 192 of the City Code, Saco has elected to levy a service fee on exempt properties that generate rental income. Municipalities may further elect to enter into voluntary agreements with exempted properties to cover the cost of providing municipal services. Where the Finance department is responsible for tax collection under § 4-14 in the City’s Code, Finance is also responsible for administration of Chapter 192 and any other payments in lieu of property taxes. B. Annual Process The Finance Department will partner with the Assessor’s Department to review all tax-exempt properties annually. Letters will be issued in order to confirm the following: • Number of residents • Existence of any rental income subject to Chapter 192. • Tax Exempt Status of properties The Finance Department will calculate the service fee cost of all tax-exempt entities on an annual basis after the Tax Commitment has been completed. Effective April 1st, 2021 for the Fiscal Year 2022 and going forward, Service Fees will be calculated as follows using budgeted amounts where applicable: 1. Fire Protection Service Costs 𝐵𝑢𝑖𝑙𝑑𝑖𝑛𝑔 𝑆𝑞𝑢𝑎𝑟𝑒 𝐹𝑒𝑒𝑡 (𝐹𝑖𝑟𝑒 &𝐸𝑀𝑆 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 − 𝐹𝑖𝑟𝑒 &𝐸𝑀𝑆 𝑅𝑒𝑣𝑒𝑛𝑢𝑒) × 𝐶𝑖𝑡𝑦 𝑜𝑓 𝑆𝑎𝑐𝑜 𝑇𝑜𝑡𝑎𝑙 𝑆𝑞𝑢𝑎𝑟𝑒 𝐹𝑒𝑒𝑡 2. Police Protection Service Costs 𝑅𝑒𝑠𝑖𝑑𝑒𝑛𝑡𝑠 (𝑃𝑜𝑙𝑖𝑐𝑒 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 − 𝑃𝑜𝑙𝑖𝑐𝑒 𝑅𝑒𝑣𝑒𝑛𝑢𝑒) × 𝐶𝑖𝑡𝑦 𝑜𝑓 𝑆𝑎𝑐𝑜 𝑈𝑆 𝐶𝑒𝑛𝑠𝑢𝑠 𝑇𝑜𝑡𝑎𝑙 𝑃𝑜𝑝𝑢𝑙𝑎𝑡𝑖𝑜𝑛 Or (if residential counts are not available) 𝐵𝑢𝑖𝑙𝑑𝑖𝑛𝑔 𝑆𝑞𝑢𝑎𝑟𝑒 𝐹𝑒𝑒𝑡 (𝑃𝑜𝑙𝑖𝑐𝑒 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 − 𝑃𝑜𝑙𝑖𝑐𝑒 𝑅𝑒𝑣𝑒𝑛𝑢𝑒) × 𝐶𝑖𝑡𝑦 𝑜𝑓 𝑆𝑎𝑐𝑜 𝑇𝑜𝑡𝑎𝑙 𝑆𝑞𝑢𝑎𝑟𝑒 𝐹𝑒𝑒𝑡 3. Public Works Service Costs (road maintenance and construction, traffic control, snow and ice removal): 𝑅𝑒𝑠𝑖𝑑𝑒𝑛𝑡𝑠 (𝑃𝑊 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 − 𝑃𝑊 𝑅𝑒𝑣𝑒𝑛𝑢𝑒) × 𝐶𝑖𝑡𝑦 𝑜𝑓 𝑆𝑎𝑐𝑜 𝑈𝑆 𝐶𝑒𝑛𝑠𝑢𝑠 𝑇𝑜𝑡𝑎𝑙 𝑃𝑜𝑝𝑢𝑙𝑎𝑡𝑖𝑜𝑛 Or (if residential counts are not available) 𝐶𝑜𝑢𝑛𝑡 𝑜𝑓 𝑅𝑒𝑎𝑙 𝐸𝑠𝑡𝑎𝑡𝑒 𝑃𝑎𝑟𝑐𝑒𝑙𝑠 (𝑃𝑊 𝐸𝑥𝑝𝑒𝑛𝑠𝑒 − 𝑃𝑊 𝑅𝑒𝑣𝑒𝑛𝑢𝑒) × 𝑇𝑜𝑡𝑎𝑙 𝐶𝑖𝑡𝑦 𝑜𝑓 𝑆𝑎𝑐𝑜 𝑅𝑒𝑎𝑙 𝐸𝑠𝑡𝑎𝑡𝑒 𝑃𝑎𝑟𝑐𝑒𝑙𝑠 4. Total Service Costs 𝑆𝑒𝑟𝑣𝑖𝑐𝑒𝑠 𝐶𝑜𝑠𝑡𝑠 = 𝐹𝑖𝑟𝑒 𝑆𝑒𝑟𝑣𝑖𝑐𝑒 𝐶𝑜𝑠𝑡𝑠 + 𝑃𝑜𝑙𝑖𝑐𝑒 𝑆𝑒𝑟𝑣𝑖𝑐𝑒 𝐶𝑜𝑠𝑡𝑠 + 𝑃𝑢𝑏𝑙𝑖𝑐 𝑊𝑜𝑟𝑘𝑠 𝑆𝑒𝑟𝑣𝑖𝑐𝑒 𝐶𝑜𝑠𝑡𝑠 Page 71 A report of all tax-exempt entities and related service costs will be provided to the City Administrator and Council on an annual basis. The City Administer and Council may elect to enter into voluntary arrangements with certain tax-exempt entities that do not already pay service fees under Chapter 192. Those tax-exempt entities that qualify to pay service fees under Chapter 192 or that have entered into voluntary agreements with the City of Saco will be billed accordingly through the Finance Department. For financial reporting purposes, payments in lieu of taxes should be treated in the same manner as property tax revenues. Page 72 City of Saco, ME Thursday, September 11, 2025 Chapter 192. Taxation [HISTORY: Adopted by the City Council of the City of Saco as indicated in article histories. Amendments noted where applicable.] Article I. Municipal Service Fee [Adopted 5-1-1995 as Ch. VI, Sec. 6-1, of the 1994 Code] § 192-1. Property exempt from taxation. Pursuant to 36 M.R.S.A. § 652, properties in the City which are owned by benevolent and charitable institutions shall be exempt from property taxation. This article incorporates by reference the definition of "benevolent and charitable institutions" used in 36 M.R.S.A. § 652. § 192-2. Fee imposed on rental property; exception. The owners of residential properties exempt from taxation under § 192-1 that are used to provide rental income (with the exception of student housing or parsonages) shall pay to the City of Saco a service fee in lieu of property tax. § 192-3. Calculation of fee. The fee for services in lieu of property tax shall be calculated according to the actual costs of providing municipal services to the property. Municipal services included in the calculation of the fee shall include fire and police protection, road maintenance and construction, traffic control, snow and ice removal, water and sewer service, sanitation services and all other municipal services except the costs of education and welfare, which shall be excluded. In no instance shall this fee exceed 2% of the gross annual revenues of the organization. § 192-4. Appeals. Any property owner levied a service charge in lieu of property tax shall have the right to appeal the levy to the Board of Assessment Review. Page 73 MRS Title 36, §508. SERVICE CHARGES §508. Service charges 1. Imposition. A municipality may impose service charges on the owner of residential property, other than student housing or parsonages, that is totally exempt from taxation under section 652 and that is used to provide rental income. Such service charges must be calculated according to the actual cost of providing municipal services to that real property and to the persons who use that property, and revenues derived from the charges must be used to fund, to the extent possible, the costs of those services. The municipal legislative body shall identify those institutions and organizations upon which service charges are to be levied. A municipality that imposes service charges on any institution or organization must impose those service charges on every similarly situated institution or organization. For the purposes of this section, "municipal services" means all services provided by a municipality other than education and welfare. [PL 2007, c. 627, §12 (NEW).] 2. Limitation. The total service charges levied by a municipality on any institution or organization under this section may not exceed 2% of the gross annual revenues of the institution or organization. In order to qualify for this limitation, the institution or organization must file with the municipality an audit of the revenues of the institution or organization for the year immediately prior to the year in which the service charge is levied. The municipal officers shall abate the portion of the service charge that exceeds 2% of the gross annual revenues of the institution or organization. [PL 2007, c. 627, §12 (NEW).] 3. Administration. Municipalities shall adopt any ordinances necessary to carry out the provisions of this section. Determinations of service charges may be appealed in accordance with an appeals process provided by municipal ordinance. Unpaid service charges may be collected in the manner provided in Title 38, section 1208. [PL 2007, c. 627, §12 (NEW).] SECTION HISTORY PL 2007, c. 627, §12 (NEW). The State of Maine claims a copyright in its codified statutes. If you intend to republish this material, we require that you include the following disclaimer in your publication: All copyrights and other rights to statutory text are reserved by the State of Maine. The text included in this publication reflects changes made through the Second Regular Session of the 131st Maine Legislature and is current through January 1, 2025. The text is subject to change without notice. It is a version that has not been officially certified by the Secretary of State. Refer to the Maine Revised Statutes Annotated and supplements for certified text. The Office of the Revisor of Statutes also requests that you send us one copy of any statutory publication you may produce. Our goal is not to restrict publishing activity, but to keep track of who is publishing what, to identify any needless duplication and to preserve the State's copyright rights. PLEASE NOTE: The Revisor's Office cannot perform research for or provide legal advice or interpretation of Maine law to the public. If you need legal assistance, please contact a qualified attorney. Generated 01.07.2025 §508. Service charges | 1 Page 74 Fiscal Year 2024 Educational PILOT Contributions Community Community PILOT Requested Community Benefits Cash Remaining % PILOT Institution Benefit Credit Benefits Credit Value Basis PILOT Report Received? Contribution PILOT Request Request Met Received Utilized Berklee College of Music* $ 173,943,523 $ 1,502,780 Yes $ 751,390 100% $ 375,695 $ 206,870 86% Boston Architectural College $ 19,056,500 $ 38,354 Yes $ 19,177 100% $ 19,177 $ - 100% Boston College * $ 536,095,300 $ 4,926,855 No $ - 0% $ 441,042 $ 3,807,826 23% Boston College High School $ 27,176,500 $ 115,126 Yes $ 57,563 100% $ - $ 57,563 50% Boston University * $ 2,623,525,324 $ 24,207,193 Yes $ 12,103,596 100% $ 6,300,000 $ 5,469,102 77% Emerson College $ 266,674,500 $ 2,368,778 Yes $ 1,184,389 100% $ 141,591 $ 1,042,798 56% Emmanuel College $ 194,556,700 $ 1,697,674 Yes $ 848,837 100% $ 170,000 $ 678,837 60% Fisher College $ 42,819,500 $ 263,028 Yes $ 131,514 100% $ - $ 131,514 50% Harvard University * $ 1,524,362,253 $ 14,250,973 Yes $ 7,125,487 100% $ 4,063,489 $ 3,035,808 79% Massachusetts College of Pharmacy $ 109,297,000 $ 891,560 Yes $ 445,780 100% $ 445,780 $ 0 100% New England College of Optometry $ 25,065,500 $ 95,168 Yes $ 47,584 100% $ 47,584 $ - 100% New England Conservatory $ 29,747,000 $ 139,430 Yes $ 69,715 100% $ - $ 69,715 50% Northeastern University * $ 1,442,078,481 $ 13,457,148 Yes $ 6,728,574 100% $ 1,900,000 $ 4,487,780 67% Roxbury Latin School $ 52,896,200 $ 358,301 No $ - 0% $ - $ 358,301 0% Showa Institute $ 36,073,778 $ 199,248 Yes $ 99,624 100% $ 99,624 $ 0 100% Simmons College $ 139,730,000 $ 1,179,298 Yes $ 589,649 100% $ - $ 589,649 50% Suffolk University $ 217,346,500 $ 1,878,871 Yes $ 939,435 100% $ 556,069 $ 383,367 80% Tufts University $ 151,374,962 $ 1,278,753 Yes $ 639,376 100% $ 450,000 $ 189,377 85% Wentworth Institute of Technology $ 213,771,069 $ 1,869,969 Yes $ 934,984 100% $ - $ 934,985 50% Winsor School $ 41,283,900 $ 248,509 Yes $ 124,255 100% $ - $ 124,254 50% Total $ 7,866,874,490 $ 70,967,017 $ 32,840,929 $ 15,010,050 $ 21,567,746 70% *These institutions receive a credit for property taxes paid on property that would qualify for exemption As of April 29, 2025 1 Page 75 Fiscal Year 2024 Medical PILOT Contributions Community Community PILOT Requested Community Benefits Cash Remaining % PILOT Institution Benefit Credit Benefits Credit Value Basis PILOT Report Received? Contribution PILOT Request Request Met Received Utilized Beth Israel Deaconess Medical Center $ 816,793,701 $ 7,576,034 Yes $ 3,788,017 100% $ 3,788,017 $ 0 100% Boston Children's Hospital * $ 1,085,254,663 $ 9,534,430 Yes $ 7,150,822 100% $ 2,007,287 $ 0 100% Boston Medical Center * $ 153,802,100 $ 1,208,248 Yes $ 906,186 100% $ - $ 298,234 75% Brigham and Women's Hospital $ 820,202,335 $ 7,608,468 Yes $ 3,804,234 100% $ 3,024,526 $ 779,708 90% Dana Farber Cancer Institute $ 373,291,603 $ 3,303,088 Yes $ 1,651,544 100% $ 1,651,544 $ - 100% Faulkner Brigham and Women's $ 162,003,500 $ 1,389,890 Yes $ 694,945 100% $ 570,074 $ 124,871 91% Franciscan Children’s Hospital $ 50,402,000 $ 334,719 Yes $ 167,360 100% $ - $ 167,359 50% Hebrew Rehabilitation Center $ 41,744,000 $ 252,859 Yes $ 126,430 100% $ 33,938 $ 92,491 63% Joslin Diabetes Center $ 86,293,700 $ 674,068 No $ - 0% $ - $ 674,068 0% Massachusetts Eye & Ear Infirmary $ 116,908,100 $ 963,521 Yes $ 481,761 100% $ 436,452 $ 45,308 95% Massachusetts General Hospital $ 1,786,998,579 $ 16,753,853 Yes $ 8,376,926 100% $ 6,875,006 $ 1,501,921 91% New England Baptist Hospital $ 132,181,873 $ 1,107,932 Yes $ 553,966 100% $ 370,872 $ 183,094 83% Shriners Hospitals for Children Boston $ 106,097,400 $ 861,308 No 0% $ - $ 861,308 0% Spaulding Rehabilitation Hospital $ 153,933,900 $ 1,313,593 Yes $ 656,797 100% $ 539,064 $ 117,732 91% Tufts Medical Center $ 456,821,900 $ 4,148,249 Yes $ 2,074,124 100% $ 150,000 $ 1,924,125 54% Total $ 6,342,729,354 $ 57,030,260 $ 30,433,112 $ 19,446,780 $ 6,770,220 88% *These institutions receive a credit for property taxes paid on property that would qualify for exemption As of April 29, 2025 2 Page 76 Fiscal Year 2024 Cultural PILOT Contributions Community Community PILOT Requested Community Benefits Cash Remaining % PILOT Institution* Benefit Credit Benefits Credit Value Basis PILOT Report Received? Contribution PILOT Request Request Met Received Utilized Boston Symphony Orchestra $ 28,072,562 $ 123,599 Yes $ 61,799 100% $ 61,800 $ 0 100% GBH (WGBH) $ 49,902,500 $ 329,996 Yes $ 164,998 100% $ 164,998 $ 0 100% Longwood Collective $ 50,947,000 $ 339,872 Yes $ 169,936 100% $ 169,936 $ 0 100% Total $ 128,922,062 $ 793,467 $ 396,733 $ 396,734 $ 0 100% * In FY24, the City of Boston entered into an alternative system with the Boston Children's Museum, Institute of Contemporary Art, Isabella Stewart Gardner Museum, Museum of Fine Arts, Museum of Science, and the New England Aquarium to report on their institution's ongoing and expanded community benefits and other mission-related programs for Boston residents. These institutional community benefits reports are posted on the PILOT website. As of April 29, 2025 3 Page 77 Fiscal Year 2024 PILOT Contributions Requested Community Benefit Cash % PILOT Category PILOT Credit Contribution Request Met Educational $ 70,967,017 $ 32,840,929 $ 15,010,050 67% Medical $ 57,030,260 $ 30,433,112 $ 19,446,780 91% Cultural $ 793,467 $ 396,733 $ 396,734 100% Total $ 128,790,744 $ 63,670,774 $ 34,853,564 76% As of April 29, 2025 4 Page 78 Summary of FY24 PILOT Community Benefits As outlined by the 2011 PILOT Taskforce, PILOT Community Benefits are broadly defined as services that directly benefit City of Boston residents; support the City’s mission and priorities with the idea in mind that the City would support such an initiative in its budget if the institution did not provide it; emphasize ways in which the City and the institution can collaborate to address shared goals; and, are quantifiable. Lastly, PILOT Community Benefits should include only those investments that are above and beyond the institution’s existing commitments such as Institutional Master Plan requirements, Article 80 requirements, Determination of Need and the like.1 Examples of PILOT Community Benefits programs include academic scholarships, job training initiatives, health disparities programs. More detailed examples of FY24 Community Benefit programs can be found below. In FY24, 40 institutions submitted PILOT Community Benefits reports totaling $256.4M, of which $229.0M were considered eligible. Given that an institution can only receive community benefits credit for 50% of its PILOT request, $63.7M in community benefits credit was accepted in total this year. Institutions partnered with approximately 590 local organizations to implement these programs. To better understand the impact of PILOT Community Benefits across the city, this year’s submissions were broadly categorized. The following categorization is a preliminary assessment based on the information provided about each Community Benefit by our partner institutions. All submitted Community Benefits were categorized, with the exception of some programs which require more information before making an assessment. Please note that additional benefits to the community through Institutional Master Plan requirements, Article 80 requirements, Determination of Need and other means are not accounted for in this analysis. 1 For more information on Institutional Master Plans coordinated by the Boston Planning & Development Agency, see http://www.bostonplans.org/planning/institutional-planning/institutional-planning Page 79 Table 1: Preliminary Assessment of Community Benefits Programs FY19-242 Category FY19 FY20 FY21 FY22 FY23 FY24 Value Value Value Value Value Value Education: post-secondary access, scholarships, $53M $65.4M $72.4M $73M $91.2M $120M school funding, supports and resources, and investment in educational environment Community Health: community health initiatives, $27.2M $28.7M $31.9M $33M $33.8M $36.9M education and outreach beyond the charitable mission of the institution Good Neighbor Activity: donations of facilities, $27.9M $16.4M $16.5M $18.4M $21.8M $26M goods, and/or supplies, monetary support of community associations, volunteer activities, and paid student internships Built Environment: active transportation options, $17.3M* $18.5M $17.2M $16.4M $15.5M $18.1M parks and open space, access to healthy foods Cultural: access to cultural spaces, activities and $10.4M* $11.0M $5.7M $4M $8.6M $14M programs Employment: workforce development programs, $4.6M $4.3M $4.6M $3.3M $3.4M $4.2M job readiness training, summer jobs program Violence Prevention: youth violence, sexual $4.9M $4.0M $3.5M $4.5M $4.3M $4.9M violence and other community violence prevention and public safety programs Housing: development and maintenance of safe, $579K $863K $1.0M $1.1M $1.8M $3M stable, affordable living accommodations** City Fellowships and Direct Funding: fellowships, $2.6M $2.6M $1.1M $2.5M $2.6M $2.1M co-ops and direct funding to City departments Social Environment: social networks, participation, $4.6M $1.3M $832K $65K $74K $90K cohesion, capital, support, inclusion, integration, and norms Grand Total $157.4M $153.2M $154.5M $156.4M $183M $229M *These FY19 values have been adjusted given an error in last year’s reporting on community benefit submissions. Harvard University’s Arnold Arboretum now falls under the Built Environment category (in FY19, it was erroneously placed in the Cultural category). 2 Please note that FY19 was the first year that Community Benefits Programs were categorized. Page 80 **For more information on student housing, see Student Housing Trends 2021-22 Academic Year. To further understand the impact of PILOT Community Benefits across the city, institutions also submitted information about the neighborhoods served by every program. The following neighborhood categorizations are a preliminary assessment based on the information provided about each Community Benefit program by our partner institutions. Please note that some programs serve multiple neighborhoods; for those programs, the reported value of that program is counted in each neighborhood served. 80% of programs served residents citywide and 94% of the total reported value of PILOT Community Benefits were citywide. Table 2: Preliminary Assessment of Community Benefits Programs by Neighborhood FY20-24 Neighborhood FY20 Value FY21 Value FY22 Value FY23 Value FY24 Value City-wide $136,197,090 $138,076,317 $126,889,967 $151,395,153 $207,237,603 Allston $598,283 $4,478,709 $3,729,604 $3,666,138 $3,566,463 Brighton $612,731 $4,517,959 $3,880,140 $4,391,644 $4,474,760 Back Bay $264,078 $156,754 $180,234 $209,588 $228,600 Beacon Hill $241,664 $184,450 $134,784 $212,166 $319,953 Charlestown $886,336 $1,661,907 $224,450 $928,358 $593,131 Chinatown/Downtown $1,023,671 $4,086,105 $2,523,311 $2,815,959 /Leather District $3,410,005 Dorchester $8,240,706 $7,050,028 $7,316,710 $7,636,971 $5,811,770 East Boston $5,558,857 $2,602,675 $1,532,540 $2,470,506 $3,061,899 Fenway-Longwood $7,521,589 $7,815,539 $6,279,614 $6,751,072 $227,652 Hyde Park $284,074 $1,296,828 $2,557,521 $2,799,838 $1,749,478 Jamaica Plain $1,847,986 $1,488,038 $1,335,490 $939,755 $1,102,371 Mattapan $1,362,948 $3,063,772 $3,221,213 $3,812,110 $2,149,077 Mission Hill $5,471,080 $7,676,319 $7,010,949 $6,658,225 $3,362,048 North End $119,873 $143,350 $22,784 $79,066 $84,953 Roslindale $402,415 $1,147,632 $3,805,044 $5,113,865 $3,178,464 Page 81 Neighborhood FY20 Value FY21 Value FY22 Value FY23 Value FY24 Value Roxbury $5,518,219 $9,434,475 $9,751,924 $11,090,249 $5,559,205 South Boston $1,267,679 $953,765 $2,574,627 $3,085,733 $1,498,612 South End $3,299,382 $3,410,590 $4,554,848 $4,704,728 $1,943,698 West End $360,483 $244,274 $144,075 $98,204 $94,953 West Roxbury $391,917 $632,649 $2,405,335 $2,572,248 $507,069 Institutions who did not submit a report were not eligible to receive community benefit credit. Four institutions did not submit Community Benefits programs in FY24: ● Boston College (did not submit for the previous 5 years) ● Joslin Diabetes Center (did not submit for the previous 4 years) ● Roxbury Latin School (did not submit for the previous 5 years) ● Shriners Hospital (did not submit for the previous 5 years) Page 82