T.F. Green Airport Improvement Program - FEIS Chapters - PVD

T.F. Green Airport Improvement ProgramEnvironmental Impact Statement and Final Section 4(f) EvaluationStarting in 2015, up to approximately $371,616 in annual property tax revenue (residential and commercial;mandatory and voluntary; excluding residential acquisitions associated with the 2020 Future Build VLAP)would be lost to the City of Warwick, representing less than a half of one percent of the City’s projected local taxrevenue base for 2010 ($204,173,334). The majority of residential property taxes lost starting in 2015 would bedue to acquisitions for noise mitigation and Runway 5 End RPZ clearing ($186,900 per year). Direct losses inannual commercial property tax revenue due to the required acquisitions for construction would total$155,665 per year starting in 2015 representing less than a half of one percent of the City’s total 2010 propertytax revenue base. Starting in 2020, an additional $195,905 of residential property tax revenue could be lostannually due to residential acquisitions for noise mitigation under a Future Build VLAP.Under Alternative B4, from 2015 to 2025 cumulative property tax losses (for residential and commercialproperties) associated with safety enhancements would total approximately $1.6 million. Cumulative propertytax losses associated with the efficiency projects would total $1.1 million by 2020 (starting in 2015) all of which isresidential tax losses associated with extending the Runway 5-23 to 8,700 feet. An additional $195,905 in annualresidential property tax losses to the City of Warwick would begin in 2020 due to residential acquisitions fornoise mitigation totaling $979,525 by 2025. Cumulatively, Alternative B4 would reduce the total amount of taxescollected by the City of Warwick by a total of $3.2 million by 2025 (starting in 2015).As discussed in greater detail in Appendix G.4, Conceptual Relocation Plan, according to a review of the currentreal estate market and based on the Current Part 150 VLAP, sufficient mitigation opportunities (available realestate) are available to relocate residents and businesses in or around Warwick under Alternative B4. Forbusinesses, as of 2010, there is some vacancy in existing office and industrial properties within the City ofWarwick; therefore, there is considerable opportunity for relocating the displaced businesses (with theexception of manufacturing, or “most threatened”, businesses) to vacant or underdeveloped land on Post Roadand elsewhere in the City. To the extent that residences and businesses relocate within the City of Warwick, thiswould reduce the loss of property tax revenue as well as local jobs, personal taxable income, and local taxablebusiness revenues. Property owners may also make improvements to their new properties, which could alsooffset the property tax lost through land acquisition associated with Alternative B4.City of Warwick Fiscal Impacts – 2015 and 2020The total estimated cost to provide municipal services (recycling and sanitation, composting, police, fire andrescue) to the housing units to be acquired under Alternative B4 in 2015 (residential acquisitions are presentedbelow under Social and Housing Impacts – 2015) is about $68,204 annually, while school costs are estimated to beabout $287,897 annually. From an overall fiscal impact perspective, it is unlikely that the acquisition ofresidential units will result in cost savings to City of Warwick as it is likely that most of the households affectedby the residential acquisitions will relocate within Warwick and therefore simply shift their demand formunicipal and school services to another neighborhood within the City, which may impact the demand forservices in that neighborhood, particularly enrollments in individual schools. Another offsetting factor for theloss of property tax revenue is the economic benefits to the City of Warwick from the increased economicactivities projected to result from Alternatives B2 and B4.Chapter 5 - Environmental Consequences 5-99 July 2011\\mawatr\ev\09228.00\reports\FEIS_Final_July_2011\PVD_CH05_Environmental_Cons_JUL_2011.doc