Opinion: Reservations on the projected housing project

Dear Editor,

The Pelly Acres Housing development project is currently trying to buy 19 acres in the Village of Owego. This project is being developed by Two Plus Four Construction group of companies and looks to build 40 units of affordable rental housing on the south side of Owego off of Montrose Avenue. Like many others in the Village, I have reservations about this project and the effects on the Village.  

The sellers of the property have asked the Village board to fast track a vote on rezoning this property by calling a special meeting for this Monday, Oct. 29. Two Plus Four Construction has asked for a rezoning so that the project fits within their budget.  

The project can still go through without the rezoning but without the rezoning, the project will have a much greater cost to the developer. Recent community meetings have been mostly full of people speaking out against this project for various reasons.  

The most talked about issue is that Pelly Acres will be granted a PILOT (Payment in Lieu of Taxes) program. By receiving this property tax break the development will pay a portion of the full taxes on the developed parcel for 15 years. Projections by Tioga County Development have placed the full amount of taxes for a completed development of around $24,000 annually using 2018 property tax rates.  

The PILOT program would instead have Pelly Acres pay approximately $7,500 annually to start, with increases every three years. By year 15, they would be paying $25,300, then after the 15 years they would pay the full amount of whatever the property taxes may be at that time.  

There are two ways the Village of Owego and the community loses on this tax break. The first way, this property will only be paying a portion of their share of taxes. All of their neighbors, and the rest of Village of Owego taxpayers, would still be paying their full share of taxes.  

The Village government would be responsible to deliver services to this new development such as, police, ambulance and fire. These services are funded mostly from property taxes but the development would only be paying a portion of the taxes that fund these services.  

The second way we all lose is that PILOT schedule does not take into account any increase in property taxes over the next 15 years. The schedule of tax payments will be immune to any property tax increases over the next 15 years.  

Local community members have worked to get signatures on a petition opposing the rezoning from surrounding property owners next to the development. The petition needs 51 percent of properties within a 100 feet to sign. They have met that minimum already, with additional signatures to be delivered to the board prior to the meeting.  

If the petition meets that threshold, according to Village of Owego code, the board must get 75 percent “yes” votes from their seven members (or six out of seven votes) to rezone this property. I have verified the supermajority rules and that the petition threshold has been met with the mayor personally.  

The sellers obviously have an interest in selling their property. The Village needs new housing inventory, fully developed parcels that pay full taxes, and home owning taxpayers. Owego has a number of educated, skilled, and high-income first or second time homebuyers looking for larger and newer homes. However, they often end up buying in Vestal, Apalachin or Endicott where larger single-family homes are being built. These are the type of homes that can add value to surrounding homes, don’t need tax breaks and expand the tax base. These are the types of development that would benefit Owego and that we should be trying to attract.

This project I am sure has a time and a place but this is not it. I encourage anyone who wants to show the Village board they are against it, to attend the Village’s special emergency vote on rezoning on Monday, Oct. 29. The meeting will be held at 56 Main St. in the Hubbard Auditorium (the Tioga County building) at 7 p.m.  

This will be your best chance at showing the board where you stand on this issue and why it isn’t a good idea.  

Sincerely,

Nicolas Ruiz

Village of Owego resident