Connecticut’s urban centers have a more limited tax base relative to their population, making the funding of basic services more burdensome to local taxpayers. As a result the tax rates in urban centers are considerably higher than the average in the state.
The Barriers to Urban Revival:
- Older cities with old infrastructure
- Loss of the middle class
- Erosion of civic engagement
- Failure to retain and attract young adults
- Counterproductive state fiscal and land use policies
Fiscal Reform:
The state’s heavy reliance on the local property tax to fund local government functions and services is a major factor in the process of urban disinvestment. The cycle of urban disinvestment, tax base decline, and further disinvestment cannot be reversed without a fundamental restructuring of the state and local tax structure. While tax policies alone cannot overcome the push for development outside of the urban centers, they should be designed to eliminate existing fiscal incentives that create this trend.
The Bridgeport Regional Business Council will work to create property tax reform in the State of Connecticut that will create a system that will be equitable, that will encourage urban development and investment and will discourage sprawl.