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Date: 4/27/2022
SPRINGFIELD – After months of advocation from City Council members, Eversource issued $41,189,502 to address their outstanding property taxes payments owed to the city on April 14.
The process of securing the owed payments, which dated back to 2013, was an ongoing effort for Ward 2 City Councilor Michael Fenton and Ward 7 City Councilor Timothy Allen. Both councilors highlighted the issue during an Oct. 2021 City Council meeting, discussing how the energy company utilized a “loophole” that allowed the organization to pay part of their yearly property taxes. Allen shared that the Eversource also underwent similar practices within other communities.
The partial payments led to the city and Eversource undergoing legal meditation, with the energy company losing each trial regarding the outstanding payments. Allen issued a resolution advocating for Eversource to address the remaining balance.
“Whereas Eversource continues to string along Springfield and other communities by not paying their bills and appealing charges despite losing all legal cases regarding this issue,” said Allen. Fenton also criticized the company’s “irresponsible” practices, advocating for Eversource to address the ongoing payment delays.
Allen provided another update on the process during the council’s April 4 meeting. “We’ve been staying on that issue…we got a ruling on Friday that we won again [in appeals court],” said Allen regarding one of Eversource’s yearly appeals.
In a press release, Mayor Domenic Sarno expressed gratitude for the councilors, Eversource and his team’s efforts, including his legal team and Chief Administrative Financial Officer TJ Plante, in securing the outstanding payments via a settlement. The mayor also stressed that the payments will help support different facets throughout the city.
“This one-time infusion of money will be used in four categories: to bring continued property tax relief to residents and business community, to strengthen the city’s reserves, for one-time capital projects and for pension liability,” said Sarno.
Allen and Fenton also showcased their support for the process reaching its competition.
“I am happy to see this check arrive. In a democracy, it is important that we all do the right thing. Eversource has today done what we are all asked to do – pay our bills on time,” said Allen.
Fenton stated, “The city was patient and it has paid off. I am glad that we stayed the course and that the courts ruled in our favor. It’s a major vindication for cities and towns all across the commonwealth.”