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Residential Development Increases the Cost of Community Services
You Might Assume: It is natural to assume that the additional property taxes from new residential development will be a financial plus for the community.
Studies Show Otherwise: Professional studies document the opposite. Time and again, new residential construction adds more in costs to communities than it brings in new tax revenue. This is because increased costs for essential services ― schools, police, fire, road maintenance, water and sewer ― end up outstripping the added residential tax revenue of the new homes.
A publication of The American Farmland Trust summarizes results of more than 90 such studies from all over the country, including 10 in Massachusetts. They show a wide range of costs of services with a median cost $1.16 for each $1.00 of residential tax revenue received.
A University of Illinois publication, Costs of Community Services, evaluates results from many published studies. Its conclusions are relevant to the decisions we must all make about Clinton’s future. The publication found that “Regardless of who conducted the research, the results have been consistent…”, costs to communities go up, not down. In fact, the study shows that for each dollar of residential tax revenue, costs to the community are $1.15 to $1.50. ( Costs of Community Services, University of Illinois )
And wait. There’s more
- A bond to purchase Rauscher Farm as conservation land has fixed, known costs that do not change over the life of the bond. But if houses are built, the added cost of community services will increase with inflation.
- Unlike a bond to purchase Rauscher Farm as conservation land, added costs of community services don’t end at 10, 20, or 30 years. They go on forever.
- Forever is a very long time!
Whys And Wherefores of a Fixed-Cost Bond
What Is The Real Cost To You?
Clinton’s Recent Growth
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