No, actually, they are looking to get economic development incentives.
Ground Zero Muslim center may get public financing
That is part of my job, Jack, economic development incentives. I don't know New York law on ED projects, but I do know what local development corporations are and how they work. It is a tool to get businesses to move to cities to provide jobs for the citizens and to increase the tax base to pay for city services like water, roads, parks, libraries, etc. In this instance, the purpose of the corporation is to issue bonds to pay for the project. The project has to be financially able to repay the bonds. In this instance, the debt is tax free. In other words, they get $70 million tax free to build their project. Yes, they have to pay the $70 million bonds off and more than likely to qualify for an ED incentive program they will have to raise the ad valorem tax value of the property so many millions above the current value by a certain time, more than likely by January 1, 2012. However, what is the tax rate on $70 million in New York City right now? Probably 10%. You don't think that is a nice chunk of change to give them to build their project? They already got the property for about $14 million less than the asking price.
I'm all for economic development. It is good for people and communities. However, people need to know the mechanics of what they are doing instead of just blindly spouting some PC garbage to make themselves feel like they are enlightened, and educated, and morally righteous, and better than somebody else who doesn't see things the way they do.