The NJ “Economic Development Authority” agreed to pay $38.4 million of a proposed Polercoaster” rollercoaster to be built in Atlantic City for $138 million. Click here for link to full Press of Atlantic City article.
According to the 4/13/2017 Press of Atlantic City article: “The project also depends on tax incentives from the state Economic Development Authority (refunds of sales tax generated by the attraction after it opens); at least one loan; and funding from Chinese participants in the federal government’s EB-5 Visa program, which grants green cards to foreigners who invest in the United States, according to Press archives”
Does it cost $138 million to build a rollercoaster anywhere outside of NJ? How much of the $38 million government loan is coming from NJ government employee pension funds? Only 35% of properties in Atlantic City pay full property taxes, because casinos, 109 shops at the Walk, Bass Pro Shops, Stockton University and more than 2,000 “affordable” housing units pay Peanuts In Lieu of Taxes (PILOT). How many more tax hikes can they pay for everybody else? The same folks who think this is a good idea thought it was a good idea for the same “Economic Development Agency” to give $400 million loan and tax breaks to Revel Casino.
When Atlantic City was great, business owners invested their own money in projects. Back then, taxes and permit fees were low, and business owners with good ideas made money and paid taxes. Today, taxes and permit fees are so high that nobody can make a profit by investing their own money. Now Atlantic City has “public private” partnerships like the baseball stadium, the mostly empty Boardwalk and Convention Halls, and the Revel Casino. Developers hire the “right” lawyers, consultants, and contractors. Because government puts up so much money, these insiders make big profits when the projects fail. This is why only 35% of properties pay taxes in Atlantic City, and why everyone in Atlantic County is facing massive tax hikes. Liberty and Prosperity