The Perplexing Case Of

Housing At Fairfield Hills

To the Editor:

The developers and realtors want it, but most citizens declare: No Housing At Fairfield Hills. Some people believe that by adding large housing facilities and developing other commercial elements at Fairfield Hills that those facilities will reduce our property tax rate. So let me go through the numbers again and you decide if converting Cochran House into 160 apartments is a good idea.

A Method For Comparing Financial Advantage Or Disadvantage Of An Apartment Complex At Fairfield Hills:

1. Total town side budget for 2010-2011 is $37,089,081l latest first selectman population estimate, 2010, is 27,679. Thus,

2. Per person cost for town services is 2010 town budget of $37,089,881 ÷ 27,679 cost per person = $1,340 .

3. 160 Apartments at Fairfield Hills: Planned as stated by broker: 100 single-bedroom apartments and 60 two-bedroom apartments. Assumptions: 80 percent of one-bedroom apartments rented by couples (80 x 2 persons) = 160, 20 percent of one-bedroom apartments rented by one persons (20 x 1 person) = 20 Equals 180 people. Add 60 two bedroom apartments rented by couples (60 x 2 persons) = 120 Total adults equal 300 per broker: 60 two-bedroom apartments will add 15 children (estimated by Advantage Realty). Total increase in population = 315 people.

4. Additional costs of town services 315 persons @ $1,340 = ($422,100)

5. Tax revenue from apartment complex: value of completed apartment building = est’d at $28 million mil rate (estimate from Newtown assessor’s office) = 24.3 mils per $1,000, taxable value of apartments (70 percent of $28.0 million) = $19.6 million, tax revenue to town at 24.3 mils per $1,000 = $476,280

6. Additional cost of student population increase: 15 students at $11,151.91 (supplied by Newtown tax assessor) will be $167,279.

Summary: tax revenue from apartment complex will be $476,280

Cost to town for additional town services will be ($422,100), increased cost to education budget will be ($167,279), total increased costs to town will be $589,379

Net loss to town per year = $113,099.

Even after reviewing numbers like the ones above, we find some government officials still interested in putting housing up at Fairfield Hills. The added net cost to the town of $113,099 is based on only 15 students being added to the school population. Every additional student will add another $11,151.91 to the deficit.

This analysis does not take into consideration additional parking, traffic that the housing would create, or additional congestion at FFH. Based on past experiences we can expect that our budgets will continue to escalate, which means increased costs per year. This can only translate into higher taxes. Limiting our expenditures will not solve all of our tax problems, but it is a move in the right direction.

Al Roznicki

169 Hanover Road, Newtown                              September 29, 2010