Nonprofits in Birmingham worried over business fees

BIRMINGHAM, AL (WBRC) - Non-profit organizations in Birmingham are scrambling to pay business license fees that the city had mostly ignored.
     
Many non-profits have gotten a bill from the city. The fee is 2/10's of 1% of gross revenue.

Organizers say paying it could mean a loss of jobs and services. They say non-profits should not be lumped in the same category as "for profit" businesses.

"The intent of a donor certainly isn't that its turned back to a tax," says John Stone, the President of the Alabama Association of Non-Profits. "It's that its used to put food on a table, gas, clothing on children, food in the pantry."
     
A spokesman for Mayor William Bell says this was put into place by another administration and they are just finding out about it.

To give you an idea of the fees non-profits pay in other cities: Hoover does not charge anything and Homewood charges just $10.

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