Politics & Government

Pavia: Sometimes It Makes Financial Sense to Hire Non-Local Workers

City officials are responding to a representative's claims that Stamford's business practices aren't working with the best interests of the city's schools in mind.

 

As a private developing group faces criticisms that Stamford loses money by awarding contracts to non-local companies that aren't paying taxes, said that less expensive contractors from out-of-state often outweigh tax benefits for city residents.

Ideally, Stamford would always retain crews and materials from local companies and businesses, Pavia said.

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"Sometimes, the price differential for the lowest bid is so great, it outweighs the loss from not being serviced locally," Pavia said.

The comments come on the heels of accusations from Stamford member that taxes aren't being paid on a building project in the South End.

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In her Local Voices blog post "," McClean said that Stamford-based Building and Land Technology has hired a Texas-based contractor for the Harbor Point, a redevelopment project, and that some taxes aren't being paid by that company. Company officials could not be reached for comment.

Stamford's tax assessor was not immediately available for comment.

Without addressing the Harbor Point claims specifically, Pavia emphasized that city developers often save taxpayers money by going with the lowest bidder.

"This is probably one of the best places in the state of Connecticut to do business," Pavia said. "We're hoping these companies relocate here and bring their businesses to our city. And I can assure you, if they're working in Stamford, then they're most likely shopping in Stamford and using our stores and restaurants."

In her post, McClean connected what she described as a lack of taxes to less funding for Stamford schools, saying among other things that she knew a special ed teacher who had paid for supplies with her own money at tag sales.

Sarah Arnold, Public Affairs Officer for the , disputed some of McClean's information—specifically, that teachers were being forced to buy goods out-of-pocket and that the budgets being slashed resulted in 12 Special Education teachers and two social workers losing their positions.

"We checked with the SPS Director of Special Education, who advised that he has not received any requests to purchase any materials like Leap Frog, nor does he have any requests that the district did not meet," Arnold said. "Additionally, 10 special education teachers were cut last year. However, no social workers were cut from the budget."

Arnold added that the district gets monetary contributions from several sources. 

" has given SPS $26 million over seven years," she said. "While this level of funding is unusual, the district has many generous corporate partners who go above and beyond to support education."

McClean in an interview said that businesses such as the contracted company from Texas aren't necessarily spending money in Stamford just because they're working here.

"This also does not make these corporations and special tax district exempt from doing what is required as far as our property taxes go to pay the city tax department," she siad.


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