Three acres of land at the end of Onofrio Street and a possible
Tax Incremental Financing Program for its development were points
of contention at Monday’s meeting of the Bradford Area School
Board.

Sara Andrews of the Bradford Redevelopment Authority presented a
proposal to the board about the third phase of improvements to
Onofrio Street, which calls for 13 new homes to be built on three
acres of land neighboring West Washington Street.

A TIF program is an agreement by the taxing bodies to cooperate
in providing financing for redevelopment of blighted areas which
will generate new development and increase taxes. The taxing bodies
agree to forego tax revenues from a certain project area for a
stipulated time period with the knowledge that future tax revenues
will increase because of development on that land.

Board Chairman Bob Tingley said his problem with the plan was
based largely on the cost of the land being acquired for the
project.

The cost of the parcel of land, Andrews explained, will be
$265,000. The current owner has “assembled the lot and demolished a
number of structures” and the price allows for him to make a
“reasonable profit,” Andrews said.

“That’s outrageous,” said Chairman Bob Tingley. He said it was
his understanding that the land had been purchased for $28,000 and
only about $8,000 had been spent on demolition.

Board member Dr. August Freda echoed Tingley’s disbelief at the
cost of the property.

“That’s nearly $100,000 an acre,” Freda said. “That’s mind
boggling.”

“There’s no other viable properties in the city,” Andrews said,
explaining this property has utilities readily available. In
addition, this lot has enough room to allow for 13 homes to be
built with yards and garages as well. “It is as cost effective as
any other property available in the city.”

The property is in a Keystone Opportunity Zone, which means that
development on that land would be tax-free for the next eight
years.

“What does the school district give up?” asked Director Richard
Roupe.

“We’re asking for five additional years of no taxes for $40,000
in additional taxes” in the future, Andrews said.

These 13 homes would be priced at $90,000 to $95,000.

“Aren’t you putting the cart before the horse?” Tingley asked
loudly. “Bring the jobs in first! We have senior citizens selling
their houses because they can’t afford the taxes.”

Freda spoke of a poor economy and a population loss, and Tingley
spoke of the high tax burden.

“What about if the whole thing goes bust?” Tingley said, adding
that the taxpayers would still have to foot the bill for the land
purchased.

“Nothing we’ve done has gone bust yet,” Andrews replied, citing
several successes of the Office of Economic and Community
Development.

But the citizens of the district cannot afford to take a risk,
Tingley said. “We’re basically taxed to death,” he added.

“If you don’t do something to increase your tax base, you’re
going to keep taxing them to death,” Andrews said.

Ray McMahon, executive director of the OECD, also addressed the
board about the program. Tingley asked him if Bradford City Council
and McKean County Commissioners were already on-board with the
plan, and what would happen if the school district said no.

“It wouldn’t be our plan to proceed with the TIF if we didn’t
have the district’s support,” McMahon said. The city and county are
supporting the plan, but the district is responsible for the
largest chunk of taxes on the property, he added.

“It’s our intention one way or another to proceed with this,”
McMahon said. “Our mission is to improve the housing stock in the
community.”

The second TIF presentation was also about adding new homes to
the community.

Businessman Nick Cummins was at the board meeting to present
information about the City of Bradford Sixth Ward Development Plan.
Cummins explained that he is not borrowing money in the project,
but is covering the cost himself.

He proposed building 11 new homes in the $150,000 range on
Chelsea Lane and demolishing the Sixth Ward School.

The board will vote on the Onofrio Street TIF proposal and on a
Sixth Ward TIF proposal at next month’s meeting.