An unpaid $90 water bill led to the transfer of a portion of the West Side Community Center’s Dewitt Avenue property to city ownership, according to Rev. John Bradley, the Center’s Board of Trustees Vice President.
Bradley told the City Council last month an error in remanding the property back to the Center occurred back in the late 1990s.
“The bill was canceled by the mayor,” Bradley said. “The property should still belong to the West Side Community Center.”
The matter came to head after a title search revealed the city owns the Center’s gymnasium but its implications are far more complicated than just remanding the property back to the nonprofit.
“For 20 years, they have been operating the gym under the assumption that they own it,” Asbury Park Tax Assessor Erick Aguiar said. “They are renting it out now, which could be a problem. If someone gets hurt there that will be a big problem.”
Once a safe stronghold in the neighborhood, the 74-year-old West Side Community Center provided afterschool and extracurricular activities to the city’s children. In recent years, the programs waned and the nonprofit lost its 501c3 status. Last year the municipality gave them a stay on property taxes as the worked to obtain the tax exemption designation.
But their October deadline came and went.
While board president Lori Ross said they do not need the 501c3 status to operate as a nonprofit, Aguiar said he cannot grant them property tax relief without it.
“While we certainly know the importance of having a 501(c) 3 – which is in process, and simply required us to resubmit an IRS 1023 application, we are consistently told by the NJ Division of Taxation, our attorney and others that this federal designation is ‘not controlling for property tax exemption in New Jersey,” Ross said.
But Aguiar said, while the Center has not provided any financial proof that that they are operating as a nonprofit, his office does not have the capability to analyze financial documents.
“We all want to see the Center come back to life,” Aguiar said. “The problem with churches and charities is that if they do not operate as a nonprofit everyone in the city paying taxes is subsidizing them.”
The matter will be decided by the court on March 31.
“They are off exempt list,” Aguiar said.
The Center currently does not owe taxes on the $1 million property that includes its main building, gymnasium and two lots. If the court decides they are not operating as a nonprofit they will have to pay their estimated $20,000 annual tax bill within the third and fourth quarter due dates.
“The bill will be split in half rather than over four quarters,” Aguiar said. “I’ve offered them a settlement based on the portion of what they really do own.”
That is – minus the gymnasium, which the city currently owns, Aguiar said.
“That is part of the appeal,” he said. “I will request the tax board reduce their amount for that reason.”
Aguiar said he will look to reduce the bill to an estimated $8,000 annual tax payment.
The court will need to determine whether the limited programing currently being administered at the property is enough to define the West Side Community Center as a nonprofit.
“They have to use the building for a charitable purpose,” Aguiar said.
Ross said the Center currently runs a bi-weekly after school tutoring program, a weekly mentoring program for girls, a food pantry, and is used as a worship center by Agape Life Changing Church. The gymnasium is rented out for special events, she said.
“Someone needs to look at their financials,” Aguiar said. “I’ve visited the property on the days they say they are running programming and the doors are locked.”
Challengers have called for action, saying the once vibrant programs administered through the non-profit organization is needed to help keep the neighborhood’s children safe and productive.
Board members say they need community support to help bring the nonprofit back.
“We need the cooperation of the community,” Bradley said. “We need volunteers.”
Ross agrees, saying rumors that the Center is not providing programing are unfounded.
“We are all volunteers,” she said. “We stood up while all too many sat back. Instead of bashing us and trying to take over…people should be encouraged to take part in.”
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