www.telegram.com/article/20081130/COLUMN27/811300373/10 -
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Published on: 11/30/2008
Last Visited: 11/30/2008
College President Charles F. Monahan Jr. has signed an unprecedented 25-year agreement with the city to have his 600-student school make annual voluntary payments that will go directly to support the operations of the Worcester Public Library.
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"I'm thrilled that Charlie Monahan has established a leadership position on this important issue.
He has always been a good friend to this city.
"To take the responsibility that his school has goes well beyond their economic responsibility to the city of Worcester," he added.
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"We recognize that Worcester is facing financial challenges, like most other cities and towns," Mr. Monahan said.
"This is our way of giving something back to the city.
Our annual gift in support of the Worcester Public Library, which is utilized by many of our students, is one way we can help the city.
We want to continue the positive momentum that has been generated and help the city get through these tough times."
Mr. Monahan is no stranger to PILOT programs and the role they play in communities.
In Boston, where MCPHS has its much larger flagship campus, the college makes payments in lieu of taxes of about $150,000 annually, he said.
In his ever-modest manner, Mr. Monahan downplays talk of being a trailblazer when it comes to Worcester's PILOT program.
He said he just feels it is the right thing to do for his school, and he emphasized that it should not diminish the many outstanding things other colleges do in Worcester.
He said one reason why PILOT has taken so long to get off the ground in Worcester is because its advocates continually tried to bully the colleges into making payments to the city.
But, he added, there are many other ways the colleges can and are helping the city.
"Everyone was getting their backs up over this," Mr. Monahan said.
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Mr. Monahan cautioned folks at City Hall against using the agreement his college has struck with the city as a way to pressure other colleges to follow suit or set high expectations for similar agreements.
He pointed out that in Boston, which is often held up as an example of a successful PILOT program, six colleges do not make any PILOT payments at all, and most of the money that city receives from PILOT comes from just two schools: Boston University, $4 million; and Harvard University, about $2 million.
Mr. Monahan said colleges have also not been immune from the downturn in the economy.
He said their endowments have taken a major hit in the wake of the stock market dive, forcing many schools to make unprecedented program and personnel cuts.
As a result, he said, not every school may be in a position today to make payments in lieu of property taxes.
There are signs, however, that other PILOT agreements may be in the offing in the not too distant future.
In the Telegram & Gazette's reader comments section that accompanied Thursday's story on the MCPHS agreement, WPI President Dennis Berkey praised Mr. Monahan and Mr. O'Brien for "achieving a win/win agreement reflecting the strong mutual support between the MCP and the City."