Recent Posts
NYC Blogs
Click here for a list of NYC blogs
Search This Blog

Hidden Costs For Atlantic Yards
January 30th, 2007

Advocates reading the fine print in Mayor Michael Bloombergs budget have unearthed at least one item the mayor probably would have preferred remain unnoticed: a doubling of the city subsidy for the Atlantic Yards megaproject in Brooklyn. The added funding allegedly for infrastructure improvements (i.e. not the luxury high rises themselves) — brings the city’s direct contribution to $205 million, the Sun reports.

Details have been hard to come by, but Doug Turetsky of the Independent Budget Office told the Voice that the money will probably go for items “some of which might have been on the books prior to Atlantic Yards, but some substantial amount of which is likely related to the scale of the projectsuch as the need for expanding sewer and water capacity.” And, of course, no one knows how much the city will eventually have to ante up because of increased automobile traffic, demands for classroom space, strain on city facilities and so on that could arise from the project.

Dan Goldstein of the group Develop Don’t Destroy protested, “This doubling of the citys taxpayer cash subsidy to $205 million for Ratners project is just the first blast of helium into a very large balloon of public money. There will be many more installments made to Ratner under a blank public check euphemistically called extraordinary infrastructure costs.

And New York Magazine’s Intelligencer comments that the money the mayor is giving his pal Bruce Ratner is more than 5 percent of New York’s overall budget surplus. (Actually this expense is in the capital budget so its not exactly the same thing.) How did the mayor avoid media hoopla over this? funding is for infrastructure improvements that are supposedly independent of the construction. They just happen to be, um, concurrent with it.

And Atlantic Yards isnt the only supposedly private project benefiting from such budgetary legerdemain. The Voice notes that projected capital costs for land and infrastructure associated with the Yankees and Mets stadiumspreviously pegged at $160 million and $98 million, respectivelyare now listed as totaling $209 million and $172 million over the next several years.

By on January 30, 2007, 4:21 pm
In category: Gotham City,Land Use,Public Finance | 4 Comments »

| More

RSS Feed RSS Feed

4 Responses to “Hidden Costs For Atlantic Yards”

  1. larry littlefield Says:
    January 31st, 2007 at 6:45 am

    I expect that most of the infrastructure cost is related to building an underpass so those going to and from the arena by mass transit don’t have to cross Flatbush and Atlantic, snarling those intersections.

    That said, we are up to $300 million. Add to that the Barclay’s naming rights, and you begin to wonder if the city/state could have just paid for the arena directly, without the condos to cross subsidize it and the affordable housing.

  2. arenagoer Says:
    January 31st, 2007 at 1:33 pm

    and the underpass will also serve to make sure that arena goers never have to explore businesses in park slope, fort greene, p. heights.

  3. D.M. Says:
    January 31st, 2007 at 3:37 pm

    Money pit, simply a money pit
    Its a good thing Ratner has his pal Bloomberg,Pataki and Spitzer to bail out his scam developments

  4. fred Says:
    January 31st, 2007 at 5:13 pm

    This just goes to show that now Ratner & Co. have gotten the approval from the State, they can make their real plans known. And the real plans include huge public subsidies without any public oversight. This seems to prove DDDb’s strategy correct, that the only way to deal with Ratner is by taking him to federal court. If you want to save money, send a contribution to DDDb. They are the only ones making sure your tax dollars are not used to subsidize billionaires.

Gotham Gazette the Place for Politics and Policy

Gotham Gazette is published by Citizens Union Foundation and is made possible by support from the Robert Sterling Clark Foundation, the John S. and James L. Knight Foundation, the Altman Foundation,the Fund for the City of New York and donors to Citizens Union Foundation. Please consider supporting Citizens Union Foundation's public education programs. Critical early support to Gotham Gazette was provided by the Charles H. Revson Foundation, Rockefeller Brothers Fund and the Alfred P. Sloan Foundation.

RSS Feed