Allegrone Requests Tax Incentive for North Street Project

PITTSFIELD, Mass. — A tax increment exemption has been proposed for Allegrone Construction Co.'s $18 million overhaul of two North Street properties.

Tuesday's City Council agenda includes a requested 10-year TIE for the $17.8 million project that redevelops the historic Wright Building and the Jim's House of Shoes property.

The project will combine the two buildings into one development, retaining the commercial storefronts on North Street and providing 35 new rental units, 28 of which will be market-rate units and seven of which will be affordable units.

"Both buildings are underutilized and in need of significant upgrades," Director of Community Development Justine Dodds wrote in a communique to the council.

"The current economic conditions — locally, regionally, nationally— make it difficult for private investors to secure the commercial financing requires for redevelopment."

Both buildings were shuttered around the time of the pandemic, with Jim's House of Shoes closing its doors after about 80 years in business.

The TIE would freeze the current property values and base value, and phases in the increased property taxes that result from the upgrades, beginning at 100 percent forgiveness in the first year and decreasing by 10 percent each subsequent year over the term.

It is a requirement to receive state tax credits through the Housing Development Incentive Program.

The current assessed value of the properties is $497,900 for the Wright Building and $229,900 for the former Jim's House of Shoes property. The redevelopment of these buildings is projected to increase the assessed value of each property to more than $2.5 million and more than $1.9 million, respectively.

The city approved a Housing Development Zone in 2012 to take advantage of the state Housing Development Incentive Program that supports market-rate housing development in gateway cities. The city can provide a TIE for newly created market-rate housing in the zone to private developers and for the projects to be eligible for up to $1 million in tax credits from the state through the Executive Office of Housing and Livable Communities and the Department of Revenue.

"A total of 166 new units of housing in 9 projects have been created through this program. In addition, all but 16 of those units were former commercial properties that were not housing prior to their redevelopment. These properties include former church buildings, vacant commercial space in the upper level of commercial buildings in our downtown, and a vacant firehouse," Dodds reported.

Earlier this year, the council voted to amend the HD Zone to include a Wendell Avenue property and a Linden Street property, both of which are staged for housing development. It was expanded to Tyler Street and other locations with updates in 2017, 2018 and 2020.

It is requested that the TIE proposal be referred to the subcommittee on Community and Economic Development before coming back to the council.

Also on the agenda is an order to rescind $1,119,471.50 of authorized but unissued debt for projects that are now complete or were never advanced.

This includes $725,000 for temperature controls at Pittsfield High School and $120,000 for three Fire Department generators.

"The rescinding of these unissued amounts on a regular basis is a critical component of our overall
debt management strategy," Mayor Peter Marchetti wrote.

Shoes at Pittsfield City Hall Give Shocking Visual of Countywide Child Abuse

By Brittany PolitoiBerkshires Staff
07:31AM / Sunday, May 12, 2024

Amy Hall, president and CEO of Child Care of the Berkshires, speaks at Friday's annual Step Up event at Pittsfield City Hall.

PITTSFIELD, Mass. — One case of child abuse is too many, Berkshire leaders say.

The steps of City Hall were lined with 56 pairs of children's shoes on Friday, representing the average number of children with confirmed abuse and neglect cases each month in the county. The Children's Trust and Child Care of the Berkshires coordinate this shocking visual yearly.

"Let's just take a minute and realize how many kids that is. That's probably about the number right here that are all together," Jennifer Valenzuela, executive director of the Children's Trust said.

"Fifty-six is  too many children that are being entered into our system and that something is happening in their home. The last time we were all here it was 2019 and there were 58 pairs of shoes so we're doing better. We've gone down by two a month."

She said the goal is for more children to have access to great child care and strong adult support. How does this become a reality? Strong programming and a strong workforce.

"Our home visitors and our family support staff wake up every day and they give unselfishly to the families across Massachusetts. They're supporting our families day in and day out. They're helping them learn about parenting and child development and helping them get set up in the systems that are available and signing up for programming. They're listening to the highs of what it is to be a parent and the lows and for those of us who are parents here, we know that there are many highs and lows," Valenzuela said.

"Their stories of why they do this are heartfelt and I've been going around the state over the last year and a half since I started. What I hear over and over again is, 'I love what I do. I wake up every day and I'm so grateful for the engagement I have with these families and the partnerships that we create. I want to do this for as long as I possibly can.'

"The problem is, they can't afford to stay. We're not paying our workforce enough for them to be able to live and to sustain in this type of work."