What is the difference between Watershed Management PILOT and other state Payments in Lieu of Taxes?
1. MWRA ratepayers pay the bill. Funds for the Watershed Management PILOT payments come from Massachusetts Water Resources Authority (MWRA) rate payers who use the reservoir waters; the MWRA provides funding to the DCR to make PILOT payments to the watershed towns. Unlike other PILOT programs for state-owned lands, which are disbursed through the State’s Local Aid program (“Cherry Sheets”) and are subject to legislative appropriation (currently 62% of full value), the Watershed Management program is paid in full directly to each community. The DCR payment does not appear on the Cherry Sheet. 2. DCR PILOT utilizes the local commercial tax rate. The PILOT which is distributed through the “Cherry Sheet” is based on a statewide average of residential tax rates calculated by The Department of Revenue Division of Local Services. Watershed Management PILOT is required to utilize each community’s commercial tax rate in calculating the PILOT obligation. 3. The payment can never be less than the
