VIRGINIA.
PAUL VAN OSDOL HERE NOW.
WHAT IS THIS ALL ABOUT?
>>
REPORTER: WEST VIRGINIA
UNIVERSITY HAS JOINED WITH
PRIVATE DEVELOPERS TO BUILD
SEVERAL LARGE COMPLEXIONESS FOR
STUDENT HOUSING.
IT'S A PUBLIC-PRIVATE
PARTNERSHIP MEANT TO SAVE
TAXPAYERS MONEY.
PENN STATE IS CONSIDERING A
SIMILAR DEAL.
SOME IN WEST VIRGINIA SAYS THIS
DEAL IS ACTUALLY COSTING TAX
MAYORS PILL MILLIONS OF DOLLARS.
THE $90 MILLION UNIVERSITY
PLACED COMPLEX IN MORGAN DOWN
WAS BUILT BY A PRIVATE
DEVELOPER.
IT INCLUDES APARTMENTS AND
SEVERAL PRIVATE BUSINESES.
A PIZZA SHOP, COCKY SHORE AND A
SHEETZ.
PRIVATE BUSINESSES, A PRIVATE
DEVELOPER BUT THIS COMPLEXION
DOES NOT PAY A PENNY IN PROPERTY
TAX, BECAUSE IT IS OWNED BY WEST
VRGINIA UNIVERSITY.
THE UNIVERSITY LEASED THE
PROPERTY TO A DEVELOPER TO BUILD
THE PROJECT.
NOW THE DEVELOPER IS LEASING IT
BACK TO WVU TO RUN THE APARTMENT
COMPLEX.
IT'S CALLED A PUBLIC-PRIVATE
PARTNERSHIP.
WVU HAS A SIMILAR DEAL ON THE
OTHER SIDE OF MORGANTOWN WITH
APARTMENTS, RESTAURANTS AND A
DRY CLEANER ALSO PROPERTY
TAX-FREE.
THE UNIVERSITY SAYS THE
PARTNERSHIPS ALLOW IT TO BUILD
STUDENT HOUSING IT CANNOT
OTHERWISE AFFORD.
>> WE TRIGGER PRIVATE INVESTMENT
AS OPPOSED TO ISSUING DEBT ON
BEHALF OF THE UNIVERSITY AND
GIVING THE TAXPAYERS WHERE WE
GIVE THE STATE A PORSCHE
KWRAEUGS AND OTHERS AT RISK
WHERE WE UPDATE THE HOUSING.
>> THEY DID THESE DEALS THIS WAY
TO AVOID THE PROPERTY TAX AND
PERMITS AND ZOEING.
REPORTER: DAVID OWNS AND
APARTMENT COMPLEX ACROSS THE
STREET FROM UNIVERSITY PLACE,
BUT HE SAYS HE OPPOSES THE WVU
DEALS NOT MERELY FOR SELFISH
REASONS.
>> IT'S NOT EQUAL TREATMENT TO
ALL TAXPAYERS IN THE COMMUNITY
AND THEN YOU'VE GOT HOMEOWNERS
AND TEACHERS AND CHILDREN THAT
ARE GETTING SHORTED THE TAX
DOLLARS FOR THESE PEOPLE TO MAKE
A PROFIT.
REPORTER: IN THIS DOCUMENT THE
COUNTY ASSESSOR SAYS THE TWO
PUBLIC-PRIVATE DEVELOPMENTS
SHOULD PAY A COMBINED
$1.5 MILLION PER YEAR IN
PROPERTY TAXES, BASED ON THEIR
LEASE VALUE.
THE ASSESSOR HAS FILED SUIT BUT
THE DEVELOPERS AND WVU SAY THEY
SHOULD NOT HAVE TO PAY ANYTHING.
THE CASE IS NOW BEFORE THE STATE
SUPREME COURT.
THE DEVELOPERS REFUSE TO
COMMENT.
>> THERE HAVE BEEN SOME WHO
ARGUE THAT THESE ARE PRIVATELY
RUN PROJECTS, SO WHY AREN'T THEY
PAYING PROPERTY TAX SNOWS.
>> OUR BOARD HAS BEEN PRETTY
CLEAR THAT THE THINGS, ARE DORMS
AND APARTMENTS CRITICAL TO YOU
ARE ACTION SEPL I CAN MISSION
AND USED BY THE UNIVERSITY FOR
THAT ARE NOT SUBJECT TO PROPERTY
TAXES.
REPORTER: WVU SAYS IT IS PAYING
MORE THAN $200,000 A YEAR IN
OTHER TAXES AND FEES FOR THE TWO
DEVELOPMENTS, BUT SOME AREA
RESIDENTS ARE NOT HAPPY THAT THE
UNIVERSITY AND ITS PRIVATE
PARTNERS ARE OFF THE HOOK FOR
MILLIONS IN PROPERTY TAXES.
>> IT'S TAKING ADVANTAGE OF THE
TAXPAYER AND THE CITIZENS OF
MORGANTOWN.
>> THEY ARE SUBSTANTIALLY
ERODING THE TAX BASE AND THEY
SHOULD PAY THEI
THEIR FAIR
SHARE.
REPORTER: THEY SAY THEY PAID
DEARLY FOR THE LAND WHERE THE
DEVELOPMENTS NOW SIT.
AT UNIVERSITY PLACE WVU SPENT
$14.6 MILLION FOR ABOUT FIVE
ACRES OF LAND.
THAT AMOUNTS TO NEARLY
$3 MILLION PER ACRE.
AND THERE WERE N
NO APPRAISALS
DONE PRIOR TO THE PURCHASE.
>> THEY WENT IN HERE AND PAID
NEARLY $3 MILLION AN ACRE.
YOU CAN GO HE TO NEW YORK CITY,
OCEAN CITY, FOR THE LOUDER DALE.
I'VE NEVER SEEN IT.
REPORTER: ONE PROPERTY BOUGHT BY
WVU IS THIS RUN DOWN BAR, IT
COST $825,000.
WAS THAT TOO MUCH TO PAY FOR AN
AREA THAT WAS RUN DOWN?
>> WELL, I THINK IT'S AN
INCREDIBLY VALUABLE AREA.
IT'S TWO OR THREE BLOCKS FROM
CAMPUS.
REPORTER: BUT THEY SAY HIS
COMPANY PAID A QUARTER OF WHAT
WVU PAID FOR SIMILAR PROPERTY IN
MORGANTOWN SEVERAL YEARS AGO.
>> THEY WANTED THE LAND.
THEY DIDN'T CARE WHAT THEY WERE
PAYING.
REPORTER: WVU ALSO DID NOT
SOLICIT COMPETITIVE BIDS FOR THE
TWO PROJECTS.
THE UNIVERSITY SAYS THAT IS
BECAUSE STATE LAW DID NOT
REQUIRE IT.
A GROUP OF BUSINESS OWNERS
BROUGHT THIS BILLBOARD BLASTING
UNIVERSITY LEADERS AND
DEVELOPERS BEHIND THE DEALS.
THE LEADER OF THE GROUP BEHIND
THE BILLBOARD SAYS HIS CRITICISM
HAS MADE HIM A TARGET.
TWO YEARS AGO HE ASKED THE STATE
ATTORNEY GENERAL TO INVESTIGATE
THE DEALS.
HE GOT NO RESPONSE.
BUT EARLIER THIS YEAR ATTORNEY
GENERAL PATRICK MORE A SEE CAME
TO MORGANTOWN TO ANNOUNCE A
LAWSUIT AGAINST HIS COMPANY,
METRO PROPERTY MANAGEMENT
ALLEGING UNFAIR CHARGES AGAINST
STUDENT TENANTS.
>> THEY DIDN'T ANSWER OUR LETTER
AND IT LOOKS LIKE THEY ANSWERED
IT WITH A SUIT.
IT SOUND LIKE A LITTLE BIT OF
RETALIATION.
REPORTER: A SPOKESMAN FOR THE AG
SAYS HIS ACCUSATIONS ARE NOT
TRUE, ONE HAS NOTHING TO DO WITH
THE OTHER.
OUR LAWSUIT IS SOLELY FOCUSED
UPON ENFORCING STATE LAW NOT A
SIDESHOW CONGRESS SKWROURD UP TO
DISTRACT FROM THE MISSION OF
PROTECTING CONSUMERS.
THEY DENY ANYEE TAL KWRAEUGS.
HE SAYS HE WILL NOT STOP MAKING
NOISE ABOUT WVU'S PUBLIC-PRIVATE
PARTNERSHIPS.
>> WHAT DOES IT BRING FOR THE
FUTURE FOR SCHOOL TEACHERS AND
CHILDREN IF YOU'RE MISSING
MILLIONS OF DOLLARS A YEAR?
I WANT THE PUBLIC TO KNOW.
REPORTER: PENN STATE TELLS ME IT
IS STILL LOOKING INTO A
PUBLIC-PRIVATE PARTNERSHIP.
PITT DOTES NOT HAVE
PUBLIC-PRIVATE DEALS AND IT SAYS
NONE ARE IN THE WORKS.
PITT DOES PAY TAXES ON PROPERTY
RENTED TO PRIVATE BUSINESSES.
ACTION NEWS INVESTIGATES FOUND
SEVERAL EXAMPLES WITH PITT WHERE
TAXES WERE NOT BEING PAID.
For more infomation >> Ecstasy / Ekstase (Êxtase) 1933 - Duration: 1:28:57. 
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