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Institutional Growth: Conflict and Opportunity

Thomas E. Deller, AICP, DirectorDepartment of Planning & Development

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Providence Founded in 1636

Capital City of Rhode Island

City population of 180,000 – (students, tourists, workers and undocumented residents - nearly doubles population)

State population over 1 million - Metropolitan Area population of over 1.3 million

2nd largest city in New England - fastest growing city in New England

City 18.1 square miles of land area – 95% developed

Median household income – 60% of state

45% of the city’s tax base is tax exempt

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Challenges

Providence is 95% developed

Flat tax Base

Donor Community

Schools

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Impact of Institutional growthLoss of Tax Base

37% of city’s tax base is tax exemptOver $80 million in tax base acquired since 2003

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Impact of Institutional growth

Public safety - Noise, disturbances, underage drinking, violence to and by students

Housing shortages

Town vs. gown

Impact on neighborhood

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Impact of Institutional growth

Providence is a ‘Built’ city – limited land available

Competition for landTax paying vs. tax exempt

Redevelopment – Who benefits?

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Providence Institutions

risd

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Brown UniversityUndergraduates: 5,754Graduate: 1,633Medical: 357Total: 7,744

Brown’s campus is composed of 238 buildings and sits on 143 acres in Providence.

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Rhode Island School of Design

Rhode Island School of Design (RISD), founded in 1877 in Providence, RI, is a vibrant community of artists and designers that includes 2,200 students from around the world, approximately 350 faculty and curators, and 400 staff members.

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Providence College Academic Year 2006-07

Student EnrollmentUndergraduate: 3,998Graduate: 837School of Continuing Education: 596 105-acre campus

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Johnson & Wales University Since opened their doors in 1914. Their first and largest campus is in Providence. They now have campuses in five states.

J&W's Providence Campus consists of two locations, with a total of nearly 10,000 students, representing all 50 states and 78 countries.

Johnson & Wales University

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The Downcity Campus is home to students in the College of Business, The Hospitality College, and the School of Technology.

The Harborside Campus is where students study in the College of Culinary Arts, the Alan Shawn Feinstein Graduate School, and the School of Education

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Rhode Island College is located on a 180-acre campus in the Mount Pleasant section of Providence. It serves approximately 9,000 students in courses and programs both on and off campus.

Rhode Island College

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University/City Cooperation Payment in Lieu of Taxes

20-year, $49m landmark agreement with Brown, J&W, PC and RISD

Public Safety City police/college security cooperation Shared resources - MESH network, homeland

security & training

Education partnerships mentoring teachers, mentoring students, ‘adopting’

schools)

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How do you strike the rightbalance

between institutional growth

&taxpayer affordability?

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First Steps Understand the consequences of institutional growth

on the city

Recognize institutions are citizens of the city & bear responsibility in creating sound, creative partnerships and solutions

Work together to grow the city’s tax base and minimize negative impacts or growth

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How do we get there? Colleges/universities are critical economic engines

Spin off small tax paying businesses Create jobs for residents Create tax paying research and development

space Work with city to develop legislation for income

tax sharing between city and state

Colleges/universities densify land use of existing campus

Continue and expand PILOT

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How do we get there? cont’d

Colleges/universities leverage assets Redevelopment of underused real estate Develop venture capital relationship with business

community

e.g. Yale University Form a for-profit real estate entity to develop

housing, retail etcetera

e.g. University of Pennsylvania