City staff tell council abatements largely compliant as projects show investment, jobs and housing gains

City economic development staff told the Common Council on June 10 that the city’s 2025 tax‑abatement portfolio is producing measurable investment, jobs and affordable‑housing outcomes and recommended findings of compliance or substantial compliance for multiple projects.

Andrea De La Rosa, assistant director for small business development, presented the tax‑abatement compliance report required under state law and said the Economic Development Commission had unanimously approved staff’s recommendations. Staff reported roughly $539 million in proposed investment and $411 million in actual investment across monitored projects, an assessed‑value increase from about $164 million to $203 million, 1,938 reported jobs and $152 million in reported wages across participating firms. De La Rosa said projects are classified as compliant, substantially compliant or noncompliant based on SB‑1 commitments and CF‑1 filings and that staff examines both numeric targets and community‑focused goals such as affordable housing and sustainability.

Staff highlighted several projects. Union at Crescent — a 146‑unit mixed‑income development — has shown substantial new investment, a turnaround in ownership‑led management and a plan to reach an 85% occupancy target by August 2026; staff recommended a finding of substantial compliance. Southern Knoll, in its sixth year of abatement, exceeded investment and wage commitments and was recommended as compliant. Urban Station and Woolery Mill were flagged for substantial investment with mixed performance on some metrics; staff recommended substantial compliance in each case and continued monitoring. Staff also reviewed the portfolio formerly identified as Catalent (now associated with Novo Nordisk following a 2024 acquisition) and said several resolutions tied to that site had exceeded salary and investment expectations despite the firm reporting fewer jobs than originally projected; staff said market factors — notably vaccine‑era expansions and subsequent contractions — were important context and that, in staff’s judgment, some job declines fell outside the company’s control.

Council members asked for fuller job‑count breakdowns (full‑time versus part‑time) and follow‑up on whether employment there had stabilized; staff said the city could request additional information from firms where total job counts were not part of the state filing requirements. Staff recommended that the council accept the EDC’s findings and either approve the report or call hearings where noncompliance is alleged.

A motion to approve the report as presented carried on a roll call. Council thanked ESD staff for the work and noted continued monitoring and, where necessary, hearings would follow city and state procedures.

What’s next: Council approved the staff recommendations; projects found substantially compliant will remain under monitoring and projects with lingering questions may be referred to hearings to determine whether unmet commitments were within the companies’ control.