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Sunday, November 16, 2014

Support Municipal Compensation for Hosting a Prison

                     Support Municipal Compensation for Hosting a Prison
By Albert B. Kelly

In the hoopla of campaign season, you may have missed the fact that some important legislating was getting done courtesy of Assemblywoman Celeste Riley.

On September 11th, Assemblywoman Riley introduced Bill 3597 which calls for a “prison host benefit payment” to certain municipalities hosting State prisons, County jails or related ancillary facilities.

This bill would have a positive economic impact on Bridgeton along with other municipalities hosting county jails in the 21 counties and those with State facilities like Leesburg and Delmont, (Maurice River Township), Wrightstown, and Rahway to name a few.

In a nutshell, the bill proposes that each of these communities receives some compensation for having such facilities within their borders. The formula for arriving at a compensation figure would come from one of two options.

The first is $300 multiplied by the number of residents or inmates (whichever provides the lower payment) at the start of each year.

The second would be “20% of the total amount raised by taxation for municipal purposes in the previous fiscal year in the host community multiplied by the percentage of all correctional facility inmates and residents as of January 1st of the current year that are also inmates or residents of a correctional facility operated by the correctional facility operator”.

Understand that this is no small thing. To begin with, there’s the “not-in-my-back-yard” or NIMBY factor that always rears its head. For the most part, communities don’t want these facilities within their borders and you can understand why.

No town or city wants to be known as a prison town. Try as one might, there’s simply no way to spin it into a Chamber of Commerce selling point. It is what it is; a scary and desperate place and there’s always the prospect of escapes and violent incidences.  

Beyond what happens within the walls of a jail or prison, there’s what happens out in the community. Families relocate to the area to be near incarcerated loved ones and while there’s no official stat on it, they’re here and they require all the services that communities must provide to residents.   

Then there’s the unintended consequence. Because the county jail and courthouse are located in a specific city, the “dateline” in news stories lists that city even though a good number of the crimes may have occurred elsewhere in the jurisdiction.

The end result is that most readers unfamiliar with the area assume that everything originates in that community. While not obvious, it helps create a negative perception that has to be baked into the cake.

But there’s more. The fact of the matter is that jails and prisons do not routinely get located in the wealthier towns and high end zip codes. It’s usually a place that is struggling with low and moderate income issues that end up hosting these facilities.

They are tax exempt and they remove a huge amount of land from any future use with no growth potential going forward. In the case of Bridgeton, the prison took 96.28 acres of land in a redevelopment area off the table for future growth.

Being landlocked at 6.2 square miles, that’s a lot of redevelopment with the corresponding PILOTS that will never happen.

When the idea of a prison in Bridgeton was raised, it came with a narrative about numbers of jobs for the locals and talk about a new group of homeowners relocating to be near the new facility, thus stabilizing the housing stock.

It never happened. Most employees live somewhere else and work here. Most of their consumer spending happens elsewhere and little effort was made to include a housing component as part of the employment package to expand our ratable base.

For Bridgeton, and perhaps for other host communities, the promised PILOT that we were to receive every year for hosting the prison was rolled into what’s called CMPTRA (Consolidated Municipal Property Tax Relief Aid) and it’s been cut every year. Before long there’ll be nothing.

The bottom line is that this proposed legislation by Assemblywoman Riley gives some revenue back to host communities and it is a way to offset the costs and unintended consequences that come with these jail and prison facilities.


This is an opportunity for Bridgeton, Leesburg, Delmont, and our county to be heard on something that can provide some property tax relief to our residents and is long overdue. I encourage everyone to communicate their support for this bill to their legislators and create some positive pressure to help move it out of committee and on toward the Governor.