How are SID programs and services paid for?

Funds to pay for SID programs and services are generated from a special assessment paid by the benefited property owners. (Note: Many leases have a clause that allows property owners to pass the SID assessment on to their tenants.) The assessment is billed and collected by the Municipal government and then disbursed to the SID, which in turn delivers the District services.

A SID assessment is a fee that each property owner pays to support the operations of the SID. The sum of all the individual assessments that property owners pay comprises the total yearly assessment of the SID, and underwrites most, if not all, annual operating expenses.    The total yearly assessment is unique to each SID. The amount paid by each property owner is determined by a formula that each SID creates for its district during the formation process. Formulas are based upon property size and or value.

Different properties may pay different assessments depending upon their type of zoning classification. For instance, commercial, business and retail properties are all assessed at 100 % of the assessment rate established. Not-for-profit owned and occupied properties generally do not pay an assessment, but may be charged a fee. City, State and or Federal Properties do not pay an assessment. Each district decides on their own how they will assess their unique different property classifications.   A business that operates out of a residential property is usually assessed at a lower percentage of the full assessment but is assessed nonetheless.

Show All Answers

1. What is a SID?
2. What does a SID do?
3. How are SID programs and services paid for?
4. SID or Merchants' Association?
5. Will municipal services be reduced if the SID is providing similar services?
6. Who oversees the SID?
7. How is a SID formed?
8. What other municipalities in New Jersey have a SID which includes the entire municipality?
9. What other municipalities in New Jersey have a SID with multiple sub areas in which the assessment rates differ from one district to another?
10. The report of the feasibility study suggests sub areas and variable tax rates. Are those sub area boundaries and tax rates fixed?
11. If those sub areas and assessment rates are not fixed what individual or entity will fix them?
12. Can the feasibility study map designating the proposed sub areas be enlarged so that it is clear ....
13. Are all of the decisions regarding sub areas and assessment rates to be made by the District Management Corporation (DMC)?
14. Will all of those individuals and entities subject to the SID assessment have any role in electing members of the DMC?
15. Where can the organizing documents of the Princeton Business Partners Inc, created by the ordinance to be found?
16. Do the members of the Princeton Business Partners Inc. have to live in Princeton? Pay Taxes in Princeton? Own property in Princeton?
17. Who will pay the SID assessment, the landlord or the tenant? Does it depend on whether the lease is a gross or net lease?
18. How many members, trustees, board members of the Princeton Business Partners, Inc. will there be?
19. How will the members, trustees, board members be elected, selected, appointed?
20. In making sure that the members, trustees, board members of the Princeton Business Partners Inc. are diverse, equitable and inclusive....
21. Will there be term limits for the Board?
22. In selecting assessment rates for the sub areas what criteria did the Steering Committee use?
23. To the layman it would seem that the greatest beneficiary of SID expenditures would be those businesses in the center of Princeton, Palmer Square...
24. Where can one find attachment A to the ordinance, the listing of every property in Princeton that will be subject to the SID assessment.
25. Will the members, trustees, board members, and employees of the Princeton Business Partners, Inc. be subject to a code of ethics ....