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Council approves tax-incentive agreement for Starlift Equipment expansion at 829 First Ave.

2109496 · January 10, 2025
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Summary

The council approved a real property tax incentive for Starlift Equipment Company to add 5,000 square feet at 829 First Avenue; the agreement phases in the assessed value of improvements over three grand-list years (33%, 67%, 100%).

The West Haven City Council voted Monday to authorize a municipal tax-incentive agreement with Starlift Equipment Company for a planned expansion at 829 First Avenue.

Steve Fontana, the city's director of economic development, framed the measure as a retention and expansion tool to help grow the grand list and local jobs. Nicole Timiak, representing Starlift, told the council the company expects to complete the roughly $1.5 million project in about 10 months to a year once permits are in hand.

The approved agreement freezes the property's current assessment as of the Oct. 1, 2024 grand list and phases in the assessment attributable to the improvement: 33% in the 2025 grand list year, 67% in 2026 and 100% in 2027. The resolution says the agreement becomes null and void if the property is sold within the phase-in period, if taxes become delinquent or if the improvement is unreasonably delayed.

Mayor Dorinda Borer and economic development staff described the incentive as the sort of targeted tool the city adopted to retain employers and stimulate reinvestment. "We consider this a real win win situation," Fontana said, urging favorable consideration.

The council approved the resolution in committee and then voted in the full council session to adopt the measure. Council members said they viewed the agreement as a partnership: the city offered a temporary tax phase-in in exchange for capital investment and jobs.

The ordinance language implementing the agreement gives the mayor authority to execute the documents and handle routine implementation details.