HatCityBLOG Archives: History of Danbury Democrats' opposition to tax giveaways for residential developers edition (take 2).

As a followup to my post regarding Danbury Democrats' LONG and well-established history of opposition to tax giveaways for millionaire residential developers, here's a segment from a 2006 guest post from then-DDTC Chairman Joe DaSilva in which he further elaborates why providing tax abatements to BRT is a bad idea.

Tax abatements and downtown development:

First, tax abatements were not necessary and claiming they were is nothing short of insulting the intelligence of Danbury residents. Unnecessary: There are many projects in downtown Danbury overseen by responsible developers committed to Danbury that didn't receive such breaks. For example: new three bedroom condominiums are being built on the corner of Division Street and Park Avenue. For example: several years ago the Nolan family developed the Harrison Square apartment project on Main Street. For example, the Nolan family has rehabilitated several multi-family houses on Terrace Place in downtown Danbury. None of these developers received a windfall in the form of a tax abatement; yet they committed their time, energy, vision and money to creating real housing opportunities in downtown Danbury.

Damaging: the tax abatements will cost the City of Danbury millions of dollars in lost taxes and lost sewer and water charges. Moreover, the developer has decided to market the rental building on Crosby Street to college students as an alternative to dorm living. I hold two degrees from Western Connecticut State University. I truly believe the college adds a lot to the City of Danbury and I have no problem with the concept of college students living in downtown Danbury. I do, however, recall that the reason the mayor and the developer gave for the granting of the tax abatement was to spur economic development through the creation of market rate housing in the downtown area. Even if you agree with this argument, it is hard to envision exactly how much economic activity will be generated by college students!

The 500-unit complex on Kennedy Avenue hasn't even begun yet. Once its open, however, this will generate traffic on an already congested downtown. Moreover, this will generate burdens on the Danbury Schools and the Police and Fire Departments. Yet while this project will create these burdens to the owners will not be contributing to the costs because of the tax abatement. Instead, the rest of the property owners in Danbury will have to carry these costs for seven years!