Galloway, Stockton College Reach Deal on PILOT Extension

The Richard Stockton College of New Jersey will continue to make contributions to the township for the Seaview Golf Club property it purchased in 2010, and will make additional contributions for two homes it purchased in the area since then.

The college agreed to make a contribution to the township in the amount of $300,000 for three years. The Payment in Lieu of Taxes (PILOT) was initially announced late in 2010.

The new agreement, announced at Tuesday night’s council meeting, calls for the college to make a $300,000 payment in 2014; $310,000 in 2015; and $325,000 in 2016.

The college will also make contributions for properties it purchased on Orange Tree Avenue and Xanthus Avenue for student housing.

It will pay a total of $2,562.24 for these homes, including $1,232.64 for the Orange Avenue home, assessed at $256,800 in 2012; and $1,329.60 for the Xanthus Avenue home, assessed at $277,000 last year.

Part of the agreement calls for the next non-profit to continue to make contributions at 20 percent of the property’s worth should Stockton ever sell it.

Councilman Jim McElwee expressed concern with being locked into that part of the agreement for 15 years. He said it leaves little room for the township to negotiate with a future non-profit should Stockton ever sell.

However, Township Manager Arch Liston and Solicitor Michael Fitzgerald pointed out the township has no room to negotiate on the matter.

“We can attempt to negotiate, but we can’t demand anything from non-profits,” Liston said.

Deputy Mayor Tony Coppola added there are non-profits in the township who don’t provide any monetary contributions.

“This is what Stockton says, but another non-profit could look at this and say, ‘I’m not going to give you anything,’” Mayor Don Purdy added.

“There’s little enforceability in this whole area,” Fitzgerald said.

Council approved both agreements, 4-0. Purdy and Councilman Brian Tyrell abstained. Councilman Tom Bassford was absent.