As recession-racked cities struggle to balance their budgets with everything short of feeling behind sofa cushions for loose change, a growing number are seeking more money \u201d\u201d just don\u2019t use the word taxes \u201d\u201d from nonprofit institutions that occupy valuable land but by law do not pay property taxes.<\/p>\n
Boston has been sending letters to its largest nonprofit institutions this year, telling them the value of their land and asking them to begin making annual payments that would eventually rise to a quarter of what they would owe if they paid property taxes. Mayor-elect Rahm Emanuel of Chicago wants the city to begin charging water fees to nonprofits, which have been spared them in the past. And the mayor of Providence, R.I., Angel Taveras, cited Boston\u2019s example this month when he called on nonprofits to pay more money to the city.
\u201cEvery citizen, every city worker, every taxpayer, every business and every organization \u201d\u201d including tax-exempt institutions \u201d\u201d must share part of the burden of saving our city,\u201d\u009d Mr. Taveras said in his budget address. He proposed closing Providence\u2019s $109 million budget gap by shutting schools, laying off workers, cutting the Police and Fire Department budgets and raising taxes on homeowners as well as seeking larger payments from the city\u2019s prestigious universities and other nonprofit institutions.<\/p>\n