Login  /  Register  | 3 premium articles left before you must register.

Flanders Rd. fails test of return on investment

Mick O'Beirne Mystic

Publication: The Day

Published 09/06/2013 12:00 AM
Updated 09/05/2013 05:25 PM

In a Day letter, "Stopping Flanders Road plan would be mistake," (Aug. 29), concerning the Flanders Road bond proposal, an RTM member wrote "Spending bonding funds to improve our infrastructure is necessary to expand the tax base, maintain future funding for schools and other local services and ensure our quality of life." Except for the quality of life part, this is true only when the return on spending is greater than the cost.

When the cost is greater than the return, vital taxpayer dollars are sucked out of other needed projects such as school bonding.

Groton estimates the Flanders Road project will cost $16.1 million total, $9.9 million bond plus $6.2 million interest.

Just to break even on this cost over the 20 year life of the bonds would require new revenue of over $800,000 annually. Achieving this would require new development, taxable on day one, assessed at about $40 million.

For perspective, this would be development equivalent to another Marriott hotel plus another Groton Square shopping center, all on Flanders Road south of Interstate 95. This is unreal!

I believe this project would be a net drain on taxpayer dollars for at least 30 years if not more. I cannot support it.

Town News

Visit Zip06
Submit Your:  Submit Your News Submit Your Photos Submit Your Events
Most Recent Poll
What festival will you go to this weekend?
I AM Festival, New London
Taste of Mystic
Ledyard Fair
Taste of Italy, Norwich
Greek Festival, Norwich
Down by the Riverside Festival, New London
Number of votes: 606

No current items found

No current items found

The Day on Facebook

In the past two weeks our Facebook fans have won tickets to the CT Tigers, Newport Winefest and Mystic Seaport. Become a fan of The Day on Facebook for access to these contests, breaking news, TheDay.com's best features and more!