AFS Tax Abatement Receives Go-Ahead

’ bid to have its property taxes remain flat for the next five years has been overwhelmingly approved.

Newtown resident Bill Joyce, the founder of the hi-tech manufacturing startup,  and the company treasurer appeared before the and Finance and Legislative Council, all three of which unanimously and eagerly approved the request with little to no objection.

“It was seconded by three people, I think,” council Chairman Jeff Capeci said of the motion that passed at Wednesday’s council meeting in the Municipal Center.

AFS recently bought property at 11 Edmond Road where it intends to build offices and a test facility. The company, which intends to cater to the power grid and other industries, has extensive plans to modify its property, including bringing in more electricity and bolstering its facility to be able to handle that extra power.

One impact of those modifications will be that the utility infrastructure in nearby parts of town also will have to be upgraded to allow for the added electricity to be brought in.

In about a decade, the facility, which is assessed at about $6 million, would likely be assessed at $10 million. But for the next five years, its assessment will remain unchanged, according to the motion that passed Wednesday night.

Under what was approved by the three town government bodies, the company would still have to pay taxes based on the $6 million assessment for the next five years. When that duration was over, the building’s assessment would increase to its true value and be taxed accordingly.

Joyce cautioned town officials about the potential risk of the company going under, saying that 75-percent of startups fail, although according to what he has told town officials, he has a perfect record with the startups he has worked with.

“The biggest risk is because it is so new,” he said of the company and its technology. “This is my own money I’m spending so if I didn’t think it was going to work, I wouldn’t do it. I don’t think you are out anything.”