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Erik Johnson: "Put residents and businesses in Hamden first.”
Hamden’s Legislative Council gave final approval to a new ordinance tying business incentives to local hiring .
The ordinance extends the life of two tax abatement programs that had expired in 2021 and creates new guidelines around hiring and contracting both locally and equitably, was approved with only three votes of opposition from the Council’s Republican reps.
Read more in depth about the policy in an earlier Independent article here. (An original version of that article, since corrected, mistakenly reported that the full Legislative Council had already given final approval to the ordinance; instead, a Council committee had voted to give preliminary approval.)
One of the renewed programs allows a freeze and phase in of taxes for owners making significant improvements to their property. The other waives building permit fees in those cases.
Additional language now requires developers taking advantage of those two sources of town assistance to demonstrate “best efforts” in adhering to the following standards:
10 percent resident workforce hours for on-site construction labor.
17 percent minority male workforce hours for construction labor.
6.9 percent female workforce hours for on-site construction labor.
10 percent Hamden business enterprises for construction services.
6.25 percent minority or woman-owned business enterprises for construction services.
20 percent affordable housing units for housing construction.
Joe McDonagh, the vice-president of Hamden’s Planning and Zoning Commission, called into Tuesday’s meeting to say that he is “not opposed to the ordinance, but it needs more attention.”
McDonagh wrote a letter on behalf of the Hamden Regional Chamber of Commerce posing 12 questions including: What would be considered “best efforts” by developers? Who makes the decision as to whether or not compliance has been met? Who will monitor compliance with the ordinance?
Others, in addition to McDonagh, questioned whether there is a minimum number of apartments a single housing development must include before the requirement of 20 percent affordable units kicks in.
Town economic development and planning chief Erik Johnson clarified that the Planning and Zoning Commission previously put forward a requirement that construction of five or more apartments must include at least 20 percent affordable options. During the Council meeting, Johnson said that the Economic Development Commission and Council will vet every developer applying to the program.
“Best efforts” will look different depending on the nature of the development, Johnson did add, pointing to potential differences in required labor and materials as examples. But because the developers’ applications are “ultimately brought before this body for approval,” Johnson said, “there’s obviously an opportunity to course correct.”
Council member Lesley DeNardis voted against the policy, as did the other two Republicans. DeNardis said that while “having representation is a laudable and worthy goal,” the extra guidelines would serve as a “barrier to entrance” and “serve as a disincentive to those who want to come to Hamden but don’t believe they can make the requirement.”
She argued that rather than create equal standards for developers, the guidelines put “a lot of discretion into the hands of administrators.”
DeNardis also questioned the true efficacy of any business incentive.
“I’m somewhat skeptical of the effectiveness as well,” noted Council person Ted Stevens, a Democrat, who works as a transportation planner. “It’s worth having the conversation, but I’m supporting this today because we do have the incentives on the books and the qualifications are worthwhile.”
“This is major,” said Council President Dominique Baez. “Hamden should’ve done this before … our surrounding communities in the State of Connecticut have this standard.”
Baez, who works in workforce development and has led the charge in hiring locally since her first term on Council two years back, added that “these are very standard and simple percentages to reach.”
Johnson reminded the Council that “Hamden’s current tax position is something that makes businesses reconsider whether or not they wanna grow and expand within the town. That’s just the reality.
“Having programs like this that allow for the town to be more competitive is an opportunity to grow rather than let more opportunities pass by,” he maintained.
He concluded: “This is an opportunity to put residents and businesses in Hamden first.”
