Loyola University and other non-profit organizations may soon have to start paying city taxes, from which they have long been exempt, to increase the city’s revenue.
The city of New Orleans and the state of Louisiana are in debt. Mayor Mitch Landrieu has formed a Tax Fairness Commission to explore different ways to increase revenue, which is traditionally done through taxes, according to Tommy Screen, Loyola’s director of Government Relations.
“Loyola and a number of non-profits in the city are facing the likelihood to pay for city services, such as fire protection, that in years past have been provided to the university at no cost,” said the Rev. Kevin Wildes S.J., in his January 2011 Convocation remarks. Universities may have to begin paying property taxes for buildings that do not serve the mission of Loyola, according to Screen.
If this were to happen, Loyola and other universities will be prepared to argue against the city.
“Loyola, Tulane and Xavier have begun having discussions on how we can come up with a proactive approach to help prevent these payments from becoming a reality, or at the very least, limit the scope of these payments by exploring the positive impact the universities have on the city, its budget and culture,” Wildes said in his Convocation remarks.
The universities will provide a snapshot, when asked, of the values and services they provide the city, such as providing 1,000 people with jobs, according to Screen.
Yvonne Cappel-Vickery can be reached at [email protected]