Boston Asks Big Nonprofits To Pay More To CityPlay
As cities across the country wrestle with budget deficits, Boston is trying something new that could bring in millions of dollars in revenue.
Boston Mayor Thomas Menino is asking 40 of the biggest, currently tax-exempt nonprofits, from Northeastern University to Partners HealthCare, to make voluntary payments to the city, in an effort to make up for a reduction in state aid during the fiscal crisis.
Many nonprofits already make voluntary payments, but under the new plan, those payments would increase to up to 25 percent of what the institutions would pay in property taxes if not for their tax-exempt status. We learn more from Boston Globe reporter Michael Rezendes.
This segment aired on April 27, 2011.