Amazon Withdraws Tax Abatement Request In Windsor

From the Hartford Courant:

http://www.courant.com/community/windsor/hc-windsor-amazon-union-question-0911-20130910,0,2918926.st...

Amazon Withdraws Tax Abatement Request In Windsor

11:33 a.m. EDT, September 10, 2013

WINDSOR — The prospect of Amazon bringing 300 jobs to town has been put in doubt after Amazon officials withdrew their request for tax abatements and reduced building permit fees. The company has proposed building a 1.5 million-square-foot distribution center on Day Hill Road.

The project's developer, KTR Capital Partners, is continuing its work to have land use permits approved – the Windsor Inland Wetlands and Watercourses Commission approved it unanimously Monday..

"It's hard to read because the developer is continuing with the land use process, but it certainly gives me pause," said Town Manager Peter Souza, who first learned of the development on Friday.

The company had been seeking an 80 percent property tax abatement over five years and a 50 percent reduction in building permit fees as part of a $50 million building project.

The town's economic development commission recommended that the town council approve a 70 percent abatement and a 50 percent building permit fee reduction. The council was expected to vote on that suggestion Monday.

Amazon's withdrawal comes after suggestions made by Deputy Mayor Alan Simon last week that the town drive harder bargains concerning abatement approvals, including commitments to higher wages, local hiring and accountability clauses, prompted the move.

Simon said Tuesday that if the town is going to potentially lose $4.5 million in revenues as a result of abatements and reduced permits, it should try to get the best deal for residents.

"How can we use abatements to bring more benefits to the community?" Simon said, adding that he didn't believe he had enough votes on the council to add the provisions.

Regardless of his proposal, Simon said he would still like to see the company settle in town, but added that Windsor was not a desperate community.

"We're in good shape financially," he said.

Mayor Donald Trinks agreed Tuesday that the suggested provisions didn't have enough support to pass.

Trinks said it wasn't in the council's perview and that it would set a bad precedent for future economic development.

"As much as I'd like to see local people get construction work the big picture is longterm employment," he said.