Naugatuck Approves $225K For Pollution Liability Insurance

NAUGATUCK, CT — The Board of Mayor and Burgesses voted unanimously this month to spend $225,000 to secure Pollution Liability Insurance on an 86.5 acre of land that local officials want to turn into the Inland Port of Naugatuck.

The Board of Mayor and Burgesses authorized Mayor Pete Hess to take action to procure Pollution Liability Insurance jointly with Lanxess Solutions US, Inc. relating to the acquisition, remediation and development of the 86.5 acre Lanxess property with limits of ten million dollars ($10,000,000) for a price not to exceed a total of two hundred twenty-five thousand dollars ($225,000) for the ten (10) year policy.

Controller Allyson Bruce will be instructed to recommend an appropriate transfer of funds from excess revenue.

Burgess Jack DeOliveira said, “I think this is a very good deal and while we are paying the two
hundred or so thousand up front, I think once spread out over ten years, it is a huge
benefit for the town and it takes off a lot of liability that can occur at some point.”

If you're not familiar with the Inland Port of Naugatuck plan here is some background. The land is the former Uniroyal Chemical Co. site. Naugatuck is seeking $55 million from the federal and state government for the project.

Hess has said the ambitious project could be close to reality if the funds are allocated. The Inland Port of Naugatuck is a very complicated project but at its core, it's a way to help take pressure off seaports and to provide access to the tri-state area from northern areas of New England.

The idea would have Naugatuck partnering with Pan Am Railways to move products by freight rail from Canada to New York and New Jersey ports. Presently, trucks have to drive from Canada southward to New York and New Jersey ports, which causes problems due to all of the bottleneck traffic in this region, Hess said.

The rail freight service would eliminate the need to rely on trucks significantly and help reduce business costs too, Hess said. The cargo would arrive by rail freight and be stored in warehouses in Naugatuck and then delivered by truck the rest of the way.

Hess said the rail line is already there and the funding is needed to construct a railroad "spur," which is critical to ensure the trains can unload its cargo efficiently.

"This project is a game-changer for Naugatuck," Hess has said.

Naugatuck has a contract to acquire the property for $1 after its remediated by owners, Lanxess.
Once the "spur" is built, Hess said an industrial park will rise up and that there is already significant interest from companies who want to move there.