For those of us without imagination, there's last week's news:
SALINAS, Calif. -- Capital One has agreed to pay property taxes to the city of Salinas through 2019, after the company's lease expires at that time.
Officials with Capital One told Rep. Sam Farr this news at their Washington D.C. meeting, Tuesday, arranged to discuss what is being done for the employees and residents in Salinas.
Capital One announced one week ago that they were shutting down their Salinas operations by 2013, resulting in the layoffs of 850 employees.
Rep. Sam Farr's office says Farr is also planning on meeting with HSBC officials to determine what that bank can do for the city.
In addition to the property taxes, Capital One has agreed to pay 1.6 million dollars to the city, $600,000 of which would go to non-profits in the city.
The remaining amount would be going towards the city's economic development.
SALINAS, Calif. — Capital One has agreed to pay property taxes to the city of Salinas through 2019, after the company’s lease expires at that time.
A good post but I believe that this section explains why they are paying taxes. They have a lease that expires in 2019 that means they still legally have a presence in the city of Salinas.
Aren’t property taxes paid by the landlord and not the tenant ? It says Capital One was leasing the property, making them tenants only.
Depending on the lease contract, they could be liable for the full amount of the lease. That would obviously be much more than the amount of the property tax, so maybe they are actually getting off easy. Still, it should be between them and their landlord and not involve the city at all, unless the city actually is their landlord ?