2nd Troutburg hearing scheduled for Monday in Kendall
EDA is proposing $227,777 tax break plan for project
KENDALL – Residents on Monday can chime in on a proposed $227,777 tax abatement plan over 10 years for the Cottages at Troutburg.
A hearing on Jan. 15 on the proposal drew about 75 people to a packed Town Hall. The hearing on Monday has been moved to the more spacious auditorium at the Kendall Junior/Senior High School, 16687 Roosevelt Highway. The hearing begins at 7 p.m.
The tax plan would save The Wegman Group $227,777 in taxes with the bulk of the savings in the beginning of the arrangement. That will help the developers with their cash flow during the capital-intensive early stages of the project, said Jim Whipple, chief executive officer of the Orleans Economic Development Agency.
The tax abatement deal only applies to the land and the existing structures. The new seasonal homes will boost the Kendall tax base and are not subject to the PILOT (payment in lieu of taxes).
Whipple said during the Jan. 15 hearing the projected 400 cottages could boost the community’s tax base by $30 million when the project is done.
“This is a property tax creating opportunity for the county and town that you don’t normally have,” Whipple said at that meeting.
The agreement calls on The Wegman Group to pay $186,363 in taxes over 10 years on the land, a 126-acre former Salvation Army camp along Lake Ontario.
The property did not generate any taxes for about a half century. The Wegman Group bought the site for $1.5 million and has been paying taxes on about a $1.7 million assessment the past two years.
The plan would give the developers 100 percent off of the taxes on a $1.3 million assessment the first year. Each following year another 10 percent of the tax bill will be added until the full amount is billed after 10 years.