Wouldn't the cost of infrastructure scale with the increased tax revenue from the increased population? I would also assume that infrastructure is actually cheaper per capita if population density increases, which would imply lower tax rates.
It depends on how the infrastructure is funded. In some states, that budget is based on property taxes. In some states, income and state taxes. It's not really a one size fits all problem. In some cases, the money is there but the voter will is not because there's a real "tax is theft" movement in many states.