Posted by Bob on April 29, 2011 under Daily Blogs | 
Governor Dannel P. Malloy announced today (4/29/2011) that the State Bond Commission approved FIVE HUNDRED THOUSAND and 00/100THS ($500,000.00) DOLLARS for engineering and design of a parking structure to support the Naugatuck Renaissance Place Project. This appropriation is the most significant step for Renaissance since approval of the development agreement by referendum in 2007, and sends a strong signal of tangible support for the project by the State of Connecticut.
The funding will allow the Borough and the Naugatuck Economic Development Corporation (“NEDC”) to proceed with the planning, design and engineering of an approximate five hundred (500) space parking structure to support the medical office building and related development proposed for Parcel C and increased ridership anticipated at the Naugatuck train station. In accordance with the development agreement, the Borough and NEDC are responsible to provide the necessary infrastructure to support the job creating and tax generating investments to be made by the Conroy Development Company. Both the public and private portions of the project must proceed simultaneously, one not occurring without the other. Preliminary design of the medical complex is already underway.
The commitment of the Malloy Administration and the State of Connecticut to Renaissance Place sends a strong message to a very cautious investment community that the public sector supports this partnership to redevelop Downtown Naugatuck for years to come. While the “Great Recession” has changed the world in which Renaissance was originally conceived, the sustained belief in a transit-oriented, smart growth revitalization of Naugatuck’s urban core has persevered.
Many fantastic individuals deserve thanks for this achievement, but leadership starts at the top. Naugatuck is fortunate to have a Governor in Dannel P. Malloy who understands the importance of intelligent and planned redevelopment of Connecticut’s urban and former industrial communities. As its mayor, Governor Malloy transformed the City of Stamford from a quiet coastal town into one of New England’s most successful cities. The Governor has stated that state bond dollars will only be allocated for projects that create jobs and expand tax revenue, and his support for Renaissance Place represents a commitment to that principle. We thank the members of the Bond Commission for their support in approving the funding at today’s (4/29/2011) meeting. We are also grateful to Governor Malloy’s staff members, particularly Attorney Michael Christ and Elizabeth Donohue, who worked with local officials to ensure the Renaissance Place funding proposal was included on the April Bond Commission agenda.
Naugatuck’s legislative delegation; State Senator Joseph Crisco, Jr., State Senator Joan Hartley, State Representative David Labriola and State Representative Rosa Rebimbas; have worked tremendously hard over many years to secure bond commission approval for this first (1st) funding allocation. Their collective efforts are a credit to each legislator’s respective dedication to the Borough of Naugatuck and the constituents who they serve. I can not say enough about how hard both senators and both representatives have worked, regardless of political party, to advance Renaissance Place. It is a true pleasure working with each of them and their staff.
Members of the Board of Mayor and Burgesses, both past and present, have also worked in a bi-partisan manner to advance Renaissance Place from initial concept to its current status. The NEDC, led by Chair Jay Carlson and President Dave Prendergast, has been instrumental in creating a non-partisan public private partnership which provides Naugatuck the capacity to pursue economic development endeavors in an professional manner. The collaboration between the Borough, the NEDC and developer Alexius Conroy has remained together through difficult economic times.
We also would like to thank our partners at the Department of Economic and Community Development (“DECD”), led by Director of Responsible Development Peter Simmons. Many DECD staff members have devoted countless hours to numerous meetings over many months to advance Renaissance Place. We look forward to continuing this process moving forward.
While there are still many steps remaining in this long term commitment to bring responsible growth to Naugatuck, today’s (4/29/2011) approval of bond commission funding is a critical step in this process. We congratulate all stakeholders involved and look forward to continuing our partnership to remake the Borough’s Downtown.
Posted by Bob on April 26, 2011 under Daily Blogs |
The Board of Education (“BoE”) presented its 2011-2012 budget request to the Board of Finance last evening 4/25/2011). The initial presentation represents an approximate two and 55/100ths (2.55%) percent increase over 2010-2011 expenditures. The BoE summary can be viewed here. A detailed analysis of the proposed budget can be viewed here.
The Board of Finance will meet on Monday, May 9, 2011, to review revenues and make revisions to expenditures prior to presentation to the Joint Boards of Finance and Mayor and Burgesses (“Joint Boards”). It is likely that additional cuts will be made. After a preliminary budget is approved by the Joint Boards, a public hearing will be held that will allow citizens the opportunity to comment on all line items. Following the public hearing, the Joint Boards will reconvene to finalize the budget, which is subject to a possible budget referendum in accordance with the Borough’s Charter.
Posted by Bob on April 23, 2011 under Daily Blogs |
Utility crews are currently working to repair damage to power lines that resulted from an accident early this morning (4/23/2011). Expect delays while traveling on and around New Haven Road this afternoon as traffic is being diverted to Cross Street, Cotton Hollow Road and Beacon Valley Road in Beacon Falls.
Posted by Bob on April 19, 2011 under Daily Blogs |
The Finance Board reviewed several, capital project requests from various department heads last evening (4/18/2011) at our weekly budget hearing. This portion of the budget is called the reserve fund, which includes proposed expenditures which are non-recurring. Essentially this means that, if approved, the particular line item will not be part of the following year’s budget; or, at most, be paid within a fixed number of years. The Reserve Fund budget, after initial cuts were made, can be viewed here.
The headline in today’s (4/19/2011) article in the Waterbury Republican-American was a bit misleading as it referencs the “transfer” of funds. While the article itself accurately describes the process, a transfer usually indicates a mid-year allocation from one (1) line item to another. No such transfers took place and it would be almost impossible to transfer THREE MILLION THREE HUNDRED THOUSAND and 00/100THS ($3,300,000.00) DOLLARS within a fiscal year.
All items discussed last evening (4/18/2011) were the priority projects for the 2011-2012 fiscal year as articulated by specific department heads. The original requests have already been trimmed to ONE MILLION FOUR HUNDRED FIFTY THREE THOUSAND ONE HUNDRED FORTY THREE and 00/100THS ($1,453,143) DOLLARS, with more cuts likely to follow.
The Reserve Fund budget is specifically correlated to the amount of funds allocated as revenue from the Fund Balance. A municipality is advised to maintain between five (5%) percent and ten (10%) percent of its overall budget in a fund balance, commonly referred to as a “Rainy Day Fund”. During the 1990′s, the Borough’s fund balance was negative. The leaders of the Finance Board and Comptroller Wayne McAllister have worked diligently over the past fifteen years to build a stable fund balance for Naugatuck, which now stands between eight (8%) percent and nine (9%) percent of our total budget. The strength of a fund balance is directly related to a municipalities financial health. While we have endured trying economic times lately, the Borough’s bond rating actually increased as a result of the fiscally responsible action of the Joint Boards of Finance and Mayor and Burgesses (“Joint Boards”) over several years.
Each year Comptroller McAllister informs the Joint Boards of an appropriate amount of dollars from the fund balance that can be safely allocated as a revenue line item for a particular fiscal year’s budget. That figure has not yet been finalized for the 2011-2012 budget, but was NINE HUNDRED SEVENTY THOUSAND and 00/100THS ($970,000.00) DOLLARS for the 2010-2011 fiscal year.
Fund balance revenue is one (1) time revenue that is not guaranteed to exist the following year. Therefore, it should not be used for recurring expenses. That represents the connection to the Reserve Fund.
After the appropriate fund balance revenue number is projected, Reserve Fund projects should total that figure. The ultimate job of the Joint Boards is to prioritize the projects, the total costs for which should relate to the fund balance revenue line item. There are some Reserve Funds items such as local road improvements that have corresponding revenue streams (from the state in this case) which add to the Reserve Fund number, but the general principal is to only use fund balance revenue for one (1) time expenses. Conversely, if a Reserve Fund project is cut from the budget and the total amount is less than the fund balance revenue line item, the money should be returned to the regular Fund Balance; not used as an irresponsible way of reducing the mill rate. This is because the fund balance revenue will be essentially funding recurring costs such as personnel, insurance and utilities.
Essentially, the fund balance revenue and Reserve Fund relationship should be tax neutral. This is an important concept to understand as we get closer to the public hearing and ultimately finalize the 2011-2012 budget.
Next week’s budget hearing covers the Board of Education. Budget hearings usually occur on Monday’s beginning at 6:30 PM, on the fourth (4th) floor of Town Hall, and are open to the public.
Posted by Bob on April 13, 2011 under Daily Blogs |
For many years games, gimmicks, political pandering and shortsightedness have dominated the budgetary process of the State of Connecticut. Year after year, difficult decisions were avoided. The long-overdue implementation of general accepted accounting principles (“GAAP”) will ultimately show the situation is more dire than it currently appears. We now face what is projected as an approximately THREE BILLION, FIVE HUNDRED MILLION and 00/100THS ($3,500,000,000.00) DOLLAR deficit. There is no magic or easy solution to resolve a shortfall of that size.
There has been a lot of rhetoric about the problems in Hartford, but unfortunately previous budget cycles have only made the situation worse. Borrowing from future revenues, failing to adhere to funding recommendations from actuaries, agreeing to expenses that can not be sustained, and exhausting the state’s fund balance (or “Rainy Day” Fund) have put Connecticut in a very precarious financial situation. Most municipalities have taken great pains to avoid the temptation of such budgetary policies and are working painfully toward reducing long term costs.
Given the depths to which our state finances have sunk, I applaud Governor Dannel P. Malloy for his efforts to resolve the crisis which he inherited and support his proposed budget. While reasonable minds can certainly disagree about each and every detail, Governor Malloy’s proposal is the only comprehensive plan that has been put forth to address the situation. The Governor undoubtedly knows that some of his proposals are not politically popular, but has conducted himself in a mature and honest manner in explaining the dire situation to Connecticut residents.
What Governor Malloy’s budget does not do is attempt to balance the state’s massive deficit on the backs of Connecticut’s cities and towns. Reducing aide to municipalities would have devastating consequences to local taxpayers. The Educational Cost Sharing (“ECS”) allocation to Naugatuck in the 2010-2011 fiscal year alone was TWENTY NINE MILLION TWO HUNDRED ELEVEN THOUSAND FOUR HUNDRED ONE and 00/100THS ($29,211,401.00) DOLLARS. Even a slight reduction in that number would mean more layoffs of educators and support staff, an increase in the local mill rate or a combination of the same. ECS funding is the largest of numerous state assistance programs that comprise part of Naugatuck’s local revenue on an annual basis. Chief elected officials throughout Connecticut are fortunate to have a former mayor as our Governor who has balanced a budget successfully many times on the local level.
Much debate remains before final adoption, but passage of Governor Malloy’s proposed budget is in the best interests of Connecticut’s cities and towns. While Connecticut’s state employees are not responsible for the deficit, hopefully their leaders remain committed to being part of the solution and willing to agree to a more sustainable government moving forward. ”Shared sacrifice” will be painful, but many years of poor budgetary decisions require a fiscally responsible plan to restore financial stability. Governor Malloy’s budget represents that solution.
Posted by Bob on April 12, 2011 under Events |
Any information relating to the political campaign Mezzo2011 is paid for by Mezzo2011, Terri A. Carter Treasurer; and all content relating to Mezzo2011 has been approved by Bob Mezzo.
The Mezzo2011 campaign will be hosting its one and only fundraiser this Friday, April 15, 2011, from 6:00 PM to 8:00 PM. The fundraiser will be held at our campaign headquarters at 197 Church Street, Downtown Naugatuck, CT 06770, and also serve as the location’s formal opening. All are invited and legal donations of any amount will be accepted, but certainly not required. Complimentary refreshments and Giuseppe’s pizza will be provided. As always, we not only welcome you to bring along the kids but encourage you to do so. Dress is casual. We are grateful for your friendship and look forward to being in your company this Friday (4/15/2011).
Posted by Bob on under Daily Blogs |
After work was halted in January, 2011, due to severe Winter conditions, the remediation of Parcel C resumed on Monday (4/11/2011). Preliminary indications are that there is approximately four (4) to six (6) more weeks of work remaining before the project is completed.
Posted by Bob on April 11, 2011 under Daily Blogs |
One of today’s (4/11/2011) articles on Naugatuck.Patch.com solicits opinions from Naugatuck residents regarding what establishment is preferred at the former A & P Super Foodmart along New Haven Road and Cross Street. While it is certainly interesting to see the various choices, the article fails to discuss the realities of economic development, particularly in the retail sector. There are several factors and challenges associated with the revitalization of the entire Route 63 (New Haven Road) Corridor.
Regional and national retailers make decisions whether to expand in various markets based on corporate strategic plans and detailed demographic information. Big Y Foods, Inc. (“Big Y”) is a regional supermarket company with numerous locations throughout Massachusetts and Connecticut. The company acquired the business and undoubtedly the lease rights of the former A & P Super Foodmart in conjunction with a larger transaction effecting numerous stores in our state. Most Super Foodmarts are located in New York and New Jersey, and the company choose to sell some of its assets in Connecticut.
Regardless of what citizens and/or local leaders want to see open at the location, that decision will be driven almost exclusively by Big Y, a private developer; and market forces. While government can provide certain incentives (although such are very limited for retail development) and maintain land use control to a certain degree, the public sector possesses little ability to pick and choose where certain retailers locate in the United States. It is certainly Big Y’s right to move at its own pace or not for some time, depending on the details of the lease agreement with the entity that owns Crosspointe Plaza.
Almost all businesses that residents have mentioned in the Patch comment section make decisions after a careful analysis of numerous market characteristics including but not limited to population densities, buying power, average educational levels, access to major roads, transportation counts and proximity of competitors. Some retailers will automatically exclude a community from consideration based upon their merchandise and pricing points’ relation to demographic information.
Retailers often require investors. The same scrutiny will be applied when a company decides whether or not to provide financing for a project, particularly in the current economic climate. Almost nothing happens in national retail on speculation, or hope that a particular business will succeed in a certain market without some statistical possibility of profitability.
For those who are dissatisfied with particular businesses or types of establishments that exist in the Borough, there are usually logical reasons why. Most significantly, Naugatuck’s stock of businesses is what the current market will bear. It is not as if the Borough or the Naugatuck Economic Development Corporation actively seek one type of retail establishment at the expense of upscale shops, but private parties are free to lease space or sell property to interested parties. Aside from enacting land use regulations that can be defended if challenged in court, the Borough has minimal control to prevent a business from locating in an area if the intended use is allowed in a particular zone.
This is not to say that we can not make Naugatuck more attractive to certain retailers over time, but this will require a continued emphasis on smart growth principles, intelligent land use regulations and an overall improvement in the national economic climate. Having a public discussion on economic development is important as we must increase our commercial tax base. I welcome any comments and/or questions.
Posted by Bob on April 6, 2011 under Daily Blogs |
The last day to take the Long Term School Facility Planning Committee Community Survey will be Monday, April 18, 2011. If you have not already completed the survey, you may still do so electronically by navigating to the following link: https://www.surveymonkey.com/s/FMPYCJZ
Anyone interested in completing a hard-copy, paper version of the survey may do so at various locations throughout the Borough including the Town Hall, Senior Center and various schools. We will gladly deliver and/or collect a paper version of the survey upon request by contacting our office at 203-720-7009 and/or bob@bobmezzo.com.
Any organization that is collecting paper versions of the survey should make arrangements to have all completed copies returned to Town Hall by Monday, April 18, 2011. Please contact our office in the manner discussed above to arrange collection if necessary.
Posted by Bob on April 4, 2011 under Daily Blogs |
The Board of Finance will hear budget presentations this evening (Monday, April 4, 2011) regarding the following Borough departments:
Budget hearings are held each Monday in the Commissioner’s Corner located on the Fourth (4th) Floor of Town Hall, 229 Church Street, Naugatuck, CT 06770. Meetings begin at 6:30 PM, and are open to the public.
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