This article is enacted in accordance with 30-A M.R.S.A. § 3001 and 36 M.R.S.A. § 508 to provide for service charges, otherwise referred to as "payments in lieu of taxes" (PILOT), for the property of institutions and organizations that are otherwise exempt from taxation as provided in 36 M.R.S.A. § 652.
[Adopted 1-27-2014]
The municipal officers may negotiate a contract for a voluntary annual service charge or PILOT for the cost of providing municipal services to all similarly situated property owned by an organization or institution that is otherwise exempt from property taxation.
A.
The calculation of service charges shall be based on the actual cost of providing municipal services to the property of the institution or organization as determined by the Town. Municipal services shall include, without limitation, fire protection, police protection, road maintenance and construction, traffic control, snow and ice removal, water and sewer services, and any other municipal service except education and welfare.
B.
In accordance with 36 M.R.S.A. § 508, the service charge established in Subsection A on residential property that is used to provide rental income shall not exceed 2% of the gross annual revenues of the institution or organization that owns the property. 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.
Unpaid service charges for institutions and organizations shall be collected following the procedure set forth in the contract with said institution or organization. Unpaid service charges for tax-exempt residential property that is used to provide rental income may also be collected following the procedure set forth in 38 M.R.S.A. § 1208.
Revenues accrued from service charges shall be used, as much as possible, to fund the cost of providing the services which were considered in calculating the service charge.