By Josh Resnek
Arguments were supposed to be heard Tuesday in Suffolk Superior Court between the City of Everett and Exelon, the owners of the power station on the Everett shoreline of the Mystic River across from the casino. However, by mutual agreement, the hearing was postponed until a date to be set for December, according to Exelon officials.
At contention is whether or not the city can assess the property for a much higher value and collect much greater tax payments than the $15 million a year that has been paid for the past 20 years.
The city is using an ex post facto type defense claiming Exelon artificially estimated the true value of the land and structures when the TIF was voted on 20 years ago.
The mayor has indicated he believes the TIF, which he voted for when he was councilor, gave Exelon all the advantages and robbed the city of what it is truly due.
Exelon contests that assumption made long after the fact.
Exelon has presented evidence indicating it has invested more than $1 billion over what it was supposed to invest in the property and that Everett has received exactly what it bargained for, and even more.
Exelon’s TIF runs out this year.
The TIF (tax increment financing) is a special taxation agreement allowing certain companies to grow themselves and to hire more employees in return for tax benefits.
The Leader Herald reported last year that the city is represented by former governor William Weld who has received well in excess of $1 million in legal fees to fight Exelon.
The fight has been going on for longer than a year and half.
The city is essentially claiming it is owed several hundred million dollars in unpaid taxes from Exelon.
Exelon is claiming the city is owed nothing, that it has received what it bargained for and that the city and Exelon bargained in good faith.