Township OKs 'Shop 'Till Your Property Tax Drops' Program

Last night's pizza and tomorrow's hair appointment could add up to a lower tax bill for those who register in the "Shop Hillsborough" program approved by the Township Committee at Tuesday's meeting.

The program, sponsored by Marlboro-based Fincredit Inc., will collect contributions from participating merchants in town based on the sales made by residents presenting special cards. The cards will be sent to all township residents, who will have to register their card online, adding the lot and block information of their property (renters and workers can also participate and would receive a payment at the end of the year instead on a credit applied to property tax bills).

According to Fincredit Managing Director Carmine de Falco, the program benefits participating merchants by helping to retain customers—and by providing a "captive market."

"If you send one of these cards to every person in this town, then you have a market," de Falco said.

He said the typical contribution varies by type of business, with restaurants offering about 16 percent of sales, hair salons seven percent, cleaners 11 percent—but each merchant can determine their own percentage. 

Merchants will have to pay $10 per month to participate plus the percentage of sales committed to the program, while the township and residents will not directly pay to participate although the company deducts 25 percent of the sales contributions.

De Falco said after eight months of the program, residents of Marlboro Township accumulated $20,000 in credit on property taxes, based on sales of $360,000 with 43 participating merchants.

Hillsborough could do substantially better: a pair of informational sessions for local businesses drew about 100 participants, with 28 ready to commit, according to Township Administrator Anthony Ferrera.

With the committee's endorsement, the township will continue to investigate the program.

The company, which provides customer account updates on a website at www.propertytaxcard.com, will submit a tally to the township on June 1 of each year. Residents' property tax bills will be credited ahead of the new bills issued in August, showing the total of credits earned. 

This article was edited to correct information on the township's next steps.