Drive past the old Atlantic City Race Course on Black Horse Pike these days and you’ll see a piece of South Jersey history sitting quiet, waiting on its next act. That next act is looking more and more like an Amazon fulfillment center, and this week Hamilton Township took the step that decides how the town gets paid for it.
The township has introduced an ordinance locking in a 29-year payment-in-lieu-of-taxes agreement, or PILOT, for the roughly 145-acre site. Instead of Amazon paying standard property taxes once the warehouse is up and running, the company would make a fixed annual payment to the township that starts north of $2.4 million and climbs by 2.25% every year for nearly three decades. Atlantic County gets a 5% cut of that payment. There’s a public hearing and final vote scheduled for 6:30 p.m. on July 6 at the municipal building on 13th Street, so if you’ve got an opinion on this, tomorrow night is when it gets heard.
I’ve sat through enough township meetings over the years to know that PILOTs are one of those things that sound like accountant talk until you realize they’re the reason your neighbor’s tax bill either holds steady or creeps up. Here’s the honest version: a PILOT locks in predictable revenue for the township and county for nearly 30 years, which sounds great on paper because it removes the uncertainty of a big commercial property’s assessed value bouncing around. What it also means is that the school district and other taxing bodies don’t get their normal cut the way they would from a standard property tax bill — the PILOT payment gets divided up by a formula the township and county agree to, and that formula is worth understanding before Wednesday night, not after.
What’s softening the deal for a lot of residents is the Community Partnership Agreement the township and Amazon are finalizing alongside the PILOT — a $10 million community investment commitment tied directly to the development. That’s real money for a township that’s watched a shuttered race course sit empty for years, generating nothing. Add in the hundreds of construction jobs expected during the build and the permanent warehouse positions once it opens, and you can see why local officials are treating this as a win worth locking in for the long haul.
Still, 29 years is a long time to commit to one number. A lot changes in three decades — property values, county needs, the shape of the warehouse economy itself. If you live in Hamilton Township and you’re wondering what this means for your own bill, the short answer is: probably not much in the near term, since PILOT revenue mostly reshapes how the township and county split money rather than what homeowners individually pay. The longer answer is that any time a town trades flexibility for three decades of predictability, it’s worth showing up and asking your officials why they picked this deal, at this rate, for this long.
That old race course carried this town’s identity for generations. Whatever gets built there next is going to carry it for the next thirty years of tax bills. Wednesday night’s the moment to have your say.
✦ ✦ ✦Based on reporting from Shore Local Newsmagazine, The Press of Atlantic City, and Hamilton Township municipal records. The Neighborhood Gazette covers South Jersey at neighborhoodgazette.town.
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