Opinion: Brookfield Four Corners Housing; Taxpayer's Dream or Nightmare?

A Letter to the Editor from Victor Bucci:

The developers of the incentive 72 unit (two bedroom apartments) housing project on Laurel Hill Road in Brookfield received a state loan for five million dollars In addition, the Brookfield Board of Selectmen has promised the developer $106,000 for streetscapes, part of a Connecticut STEAP (Small Town Economic Assistance Program) grant for sidewalks and lighting. No doubt, the November election will focus on economic development, building at the Four Corners, and expansion of the Grand List. Is housing a source of tax revenue for the town?

At the February 12, 2014, Board of Finance meeting, the members questioned the value of the Laurel Hill project for Brookfield. First Selectman Tinsley stated that the project would probably generate $160 – 170,000 in tax revenues to the town each year. The members questioned the impact on the schools.

The Brookfield average per pupil expenditure is approximately $14,000 in round numbers. The state reported net current expenditures per pupil for 2013-14 as $13,652 (Source - Google: “Connecticut net current expenditures per pupil”). Not every student costs $14,000. Adding one child to a class of 20 students may not cost anything. However, special education students, ESL (English as a second language) students, and advanced placement high school students require low class sizes and therefore incur higher costs. Special needs students who are placed in special schools out of the district may cost $70,000 per year. Most of these services are mandated by federal law. The $13,652 net current expenditures per pupil number is an average cost, quite accurate, and used by the state of Connecticut to compare school districts. Note: Niche.com reports a higher figure with Brookfield at a $15,468 per pupil expenditure.

What are the chances of getting increased school enrollment? In September, 2014, the Principal of Whisconier Middle School reported that 39 new students entered his building – 18 of which were registered for one grade level. Faced with the First Selectman’s 2014 cut of $600,000 to the Board of Education’s budget, the only alternative to hiring a new teacher was to raise class sizes for grades five and six. This year the Board of Ed is dealing with increased enrollments (50 new students in Center School and 43 new students in Whisconier Middle School) causing class size issues especially in kindergarten and grade seven.

The estimated property tax of $170,000 divided by $13,652 (using the CT average cost per student) = 13 students. In other words, 13 students could be the breakeven point. More school age children and it may cost the Brookfield taxpayers more tax money. A seventy-two unit complex made up of two bedroom apartments would probably house more students. Incentive housing is hopefully tilted to favor small families. The entire complex could have any number of children. If one-third of the 72 units had only one school age child, there would be 24 students added to the education budget.

The per pupil cost of $13,652 multiplied by 24 school age children = $327,648 - $170,000 realty tax = $157,648 possible tax liability to Brookfield taxpayers each year. This is the smallest housing project. Imagine what the bigger projects will cost.

To believe that the development of the Four Corners is expanding the tax base is potentially foolhardy. Commercial development such as Costco pays taxes and makes few demands on the town. In that sense, housing is not a source of revenue to the town since it may add to the expense side of the budget in education costs. There are almost 900 residential units built or planned for the Federal Road corridor from Route 133 to the New Milford border. The scope of the hundreds of units, over 500 units either approved or in the approval process that are planned for the Four Corners area alone, makes this a pressing issue.

In summary, the tax benefit of housing depends solely on the number of school age children who will live there. Dense housing may cost Brookfield taxpayers more money in education expenditures. Simply reporting the increase in the Grand List does not tell the whole story. If the increase is housing and not commercial development, there may be a substantial cost to the taxpayer. When the 72 unit project on Laurel Hill Road is finally placed on the Grand List and the units are fully rented, the Board of Finance will be able to determine exactly the revenue to the town of Brookfield or the cost of the project for Brookfield taxpayers.

The town officials who are proud of no tax increase and who are touting an increase in the Grand List may be writing a blank check at the taxpayer’s expense in perpetuity.

To send your letter to the editor email wendy.mitchell@patch.com.

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