Tuesday, February 15, 2011

Downingtown and Flooding

Flooding in Downingtown has always been an issue but over the past 20 years or so it seemed to get worse. About 7-8 years ago Eli Kahn Development Co. spent about $130,000 to help the Borough construct a storm water basin at the corner of Whiteland Ave and Lincoln Ave. The borough had received a partial grant from DEP to construct a basin and we kicked in the balance. The need for this basin was partially because so much water was coming North under the train tracks from the Boot Rd. vicinity. The Borough had the Army Corps of Engineers do a study that uncovered this “gaping hole” in the system. This was actually a real hole someone had cut into a pipe on the Norfolk Southern rail bed in E. Caln Township just west of Skelp Level Rd. This hole had been diverting water from a 180 acre drainage area that for decades went west along the tracks directly down to the Brandywine River and now ran into this hole and through several pipes into the heart of downtown Downingtown. How and why this hole was cut became less important than getting it fixed. Over five years and thousands of dollars in legal fees we helped the Borough through negotiating a resolution with Norfolk Southern. In the 6-8 months since the project was completed, this water no longer flows into the Borough, and there has been a decrease in flooding in the low areas in the Borough and further downstream in the residential neighborhoods of Downingtown’s South East side.

Eli Kahn Development is proud of the buildings in Downingtown that we own and have renovated. Our buildings house companies that employ many hundreds of people in and around the borough, pay hundreds of thousands of dollars in annual school and property taxes and help create demand for retail and restaurants along Rt. 30. We love being a part of the Downingtown Community.


Monday, February 7, 2011

Facts You Should Know About Downingtown's Economy

DID YOU KNOW...
  • That Downingtown's tax rate of 6.7 mils has increased 50% over the past four year? The Borough held the line on taxes in 2011 but only by laying off employees. This is an unsustainable model going forward.

    • Downingtown needs new revenues, otherwise it will be forced to continuously borrow more money to cover operations. Most debt means increased debt service expense which puts pressure on taxes. 
    • New developments and new investments in the Borough bring in more revenues while new residents help should the tax burden. The Kardon Park project alone will generate over $1 million annually in net revenues - to the Borough, the School District, the County and East Whiteland Township.

    • Most of the Borough's budget are fixed expenses and not discretionary. The only place to really cut expenditures and lower Borough costs is by reducing the debt and there the debt service. Debt service is currently about $860,000 per year or 35% of annual tax collections.
    • The Kardon Ponds project will generate net cash to the Borough of more than $9 million. The entire debt of the Borough is about $8.6 million.

    • The cost of cleaning up the Kardon Park site is about $1.5 million. If Borough taxpayers had to clean up the site without a private developer, that amount would represent 25% of the total current $6 million budget. State grants that do not demonstrate an economic development benefit are almost impossible to obtain.
    • The opposition to the Kardon Ponds development have already cost Downingtown taxpayers $1,600 per taxpayer.

    Sunday, February 6, 2011

    Great event Thursday night! Thank you to nearly 70 who braved the cold and ice to enjoy good food and beer courtsey of Victory Brewing to share a vision of a vibrant and thriving Downingtown. The discussion was lively and brought together both new and long-time residents to meet each other and hear about the need to help the Borough flourish. A special thanks to Minquas Fire Company for making their social hall available and helping to set up.

    Bill Covaleski urged the audience to work hard and not let much-needed projects be derailed by people who fear change. He shared the story of how hard it was for Victory Brewing to get their original approvals to start in Downingtown and the opposition they faced, yet they have now become a boon to Downingtown’s economy and a favorite destination restaurant for many residents. Maurie Kring, owner of the newly expanded and refurbished Chester County Paint and Design on Pennsylvania Avenue, spoke passionately from the perspective of a Downingtown enterprise looking to grow. “The Kardon Park project will bring in new residents to Downingtown which is key to making businesses grown,” he said. “It simply has to happen.”

    The group heard an update on the Kardon Ponds project in E. Caln and Downingtown Borough. An analysis released by the developer and shared at the event calculates that the opposition's delays has already cost $1,600 per taxpayer.

    Cara DeStefano who founded IDEAL Downingtown after learning that key new projects such as Kardon Park and the Minquas Fire Station/Molly Maguires restaurant were being threatened by opposition, expressed excitement at how quickly the group has already grown into several hundred strong and how pleased she was to see so many like-minded people involved. She stressed how important it is to be vocal and active in attending Borough Council meetings, to voice concerns to elected representatives, and to write letters and on-line comments to the Daily Local News. She noted that Borough Council elections this year are vital to ensuring a continued positive direction for Downingtown.

    SPREAD THE WORD

    If you have friends who want to see new restaurants and businesses come to Downingtown and want to expand the tax base and property values which will keep the Borough growing and thriving, please send their name, address and email to IdealDowningtown@gmail.com. We need your support by following IDEAL on facebook and adding your comments there, by writing a letter to the Daily Local, attending Borough Council meetings, and paying attention to our emails. Thank you!