Bill > H2693

This bill proposes to amend Chapter 58 of the General Laws to establish a new system for reimbursing towns for property taxes that would otherwise be collected from nonprofit organizations. Specifically, it mandates that by August 1st each year, the commissioner will determine the value of land owned by nonprofits for charitable purposes and calculate a payment to be made to each town. By November 20th, the state treasurer will then reimburse these towns an amount in lieu of taxes, calculated by multiplying the value of the nonprofit-owned land by the tax rate established under section 58 of chapter 63. This "in lieu of taxes" payment, often referred to as a PILOT (Payment In Lieu Of Taxes) payment, aims to compensate municipalities for the loss of property tax revenue due to these organizations being exempt from property taxes.