This is a printer-friendly version of an article from Zip06.com.

Town Council Passes Measure Supporting New Business in North Branford

Abatement Program Reduces Tax Costs for New Development

The North Branford Town Council unanimously voted to renew North Branford’s Tax Abatement Program for new businesses at its regular meeting on Sept. 19. The program establishes a rehabilitation zone within the Town of North Branford under state statute. It freezes the tax assessment for a development project and, upon completion, any increase in tax revenue is deferred, and the value of the increase is phased in over a five-year period at 20% per year.

The deferred amount is not recouped by the town, but the economic development spurred by the program will produce a longer-term benefit by incentivizing new developments in town.

“When we look to bring the right kind of development to town, this program will assist a new development in getting off the ground and also help qualifying expansions of established businesses,” said Mayor Jeffrey Macmillen. “We want to make it easier for businesses to start and expand in town, and this program is one of the things that can help us achieve that.”

“This has been a successful and effective program, and I thank the Town Council for renewing it,” said Town Manager Michael Downes. “This program gives us an important incentive to bring in businesses and development opportunities that we might otherwise not be able to get established here.”

“We’re working hard to make it easier to do business in North Branford,” said Assistant Town Manager Rory Burke, who heads up economic development for the town. “Reauthorizing this tax deferral program is a vital component of North Branford’s economic development strategy going forward.”

Applications for the program are made to the Town Manager’s office, and each application is reviewed for approval by the Town Council.

The program has been in place since 2016, with 14 businesses taking advantage of it to date. The program had expired, requiring the council to renew it. The new version passed by the council does not have a sunset provision.