Middletown advisory committee urges council to fund TIF to underground Atlantic Beach District utilities

Valerie Galb, chair of the Middletown Economic Development Advisory Committee, urged the Town Council on a presentation to back a tax-increment financing commitment to begin undergrounding utilities and other infrastructure work in the Atlantic Beach District. Galb said funding the TIF is “not a giveaway,” but a reinvestment strategy she said would increase assessed values and spur private investment.

The presentation laid out figures the committee said reflect modest local impacts and larger district gains: 67 properties in the district represent about $66 million in assessed value, roughly 1 percent of Middletown’s 5,000-plus properties. With a projected 20% lift in assessed value from undergrounding and other improvements, the committee estimated TIF revenue could rise from roughly $490,000 to about $829,000 annually, an incremental boost of about $339,000 that council could allocate townwide.

Galb framed undergrounding as part of a larger package that includes a boardwalk, improved sidewalks and bike lanes, repurposing the soon-to-close Quinneck School for community use, and streetscape work to improve pedestrian access and resilience. She said the committee expects initial cost estimates by fall 2025 and recommended the council demonstrate commitment by funding the TIF so the town can attract matching grants and private investment. “Supporting the TIF is supporting undergrounding utilities as a cornerstone of this vision,” Galb told the council.

Residents and business representatives who spoke during the council’s public forum supported the plan. Stathi Kirikittes, who identified himself as a resident at 96 Langby Circle, said short-term “30%” sidewalk plans would require rework if utilities are buried later, doubling costs, and urged gradual accumulation of funds through a TIF, donations and grants. “The time to underground them is when you’re going to tear up the sidewalk for the first time,” Kirikittes said. Business owner Candace Court Camp Marshall said hotels already bring guests who spend locally and that infrastructure improvements would help district businesses.

Council members did not vote on a funding appropriation at the meeting but discussed timing and the need for cost estimates. Members said they want detailed cost and disruption estimates from Rhode Island Energy and from prospective contractors before committing funds in the budget process. Councilors and MEDAC representatives said multiple parallel work streams — grant-seeking, preliminary engineering and utility negotiations — are needed to advance the project without delaying related elements.

The committee said it will meet with Rhode Island Energy in coming days to explore options and urged the council to include a TIF placeholder in upcoming budget discussions so the town can signal commitment to potential funders and developers.

If the council decides to pursue the TIF funding, the town would need formal budget action in a later meeting; no appropriation or binding commitment was approved at the meeting.