Township Solidifies TIF Plan for Kendal
By Charles A. Peterson
Granville Township officials have structured a non-school Tax Increment Finance proposal for Kendal at Granville that would not withhold new property taxes from the Granville School District.
The arrangement, which would grant barely half of the $1.2 million TIF amount the retirement community originally sought, would establish a TIF amount of $513,000, including interest, to be paid over a 5 ½ year period.
Also, as part of the proposal, trustees will ask that Kendal pay the Granville Volunteer Fire Department the equivalent of what the department would lose in its share of Kendal's property tax bill - about $13,300 - if the TIF were enacted.
The non-school TIF is an alternative to Kendal's original request for an arrangement that would have withheld $810,000 from school district coffers over a decade and would contribute to the school district's effort to delay the next new operating tax levy as long as possible, now forecast for 2007.
Meanwhile, it would enable Kendal to keep costs as low as possible for its tenants, who will begin moving into units this spring.
However, the township including the fire department, Licking County government and the county's Joint Vocational School (C-TEC) would not begin to receive their shares of the new tax revenues for the 5 ½ years the TIF would be in effect.
Besides the approximate $13,300 the fire department would not receive each year, according to Granville Township estimates, the township would not get $52,154 annually for recreation, open-space acquisition funds and roads and cemeteries upkeep.
Licking County government would not get $39,250 each year for children's services and senior citizen programs, and the Career-Technology Education Centers (formerly known as the JVS) would forego $20,163 per year. These figures may change with adjustments in property values or the addition of new tax levies, Township Clerk Norm Kennedy said.
Trustees are seeking the payment for the fire department, reasoning that the department could be significantly affected by the retirement community's presence, with an increase in emergency runs there.
Township officials hope to take final action on the proposal at their April 13 meeting, which will be held at a larger location (to be announced) than at their normal meeting place at Maple Grove Cemetery.
Kendal executive director Douglas P. Helman said Friday that Kendal officials are looking further into the trustees' proposal.
"We're happy that the trustees have come to a consensus on the TIF request," Helman said. "We're currently in the process of reviewing their proposal. We look forward to further discussing the details with the trustees."
Looking further at the proposal, which was communicated to Kendal officials last Thursday, the TIF would not include a $226,600 cost of the widening of Ohio 16 at the Kendal entrance just west of Granville, which was included in Kendal's original TIF proposal.
"That road doesn't, in the foreseeable future, benefit any property other than Kendal," Township trustee chair Jim Havens said at last Wednesday night's trustees meeting.
Havens said that trustees arrived at the $513,000 figure by establishing Kendal's total costs for constructing the oversized sewer - $1,009,666 - and subtracting what Kendal originally estimated to be its cost - $375,000 - plus Granville Village contributions through future tap-in fee reimbursements - $225,000 - to establish the base contribution for the oversized sewer equal to $409,666.
"Kendal originally designed its facility to use on site waste disposal, " Havens explained. "Kendal complied with the village's design criteria, which improved the system, oversized the line to serve a capacity 95 percent greater than Kendal's needs, and now can be used to facilitate the anticipated JEDD adjacent to the new line. I believe that the school district and community benefit from new tax base constructed in the JEDD, which uses this line will be worth the investment."
Not included in the township's formula would be whether or not Granville Village Council would increase the amount of future sewer-line tap-in fees to Kendal, a decision to be made at a special council meeting at 7:30 p.m. March 30. The original pact calls for Kendal to receive up to $225,000 in future tap-ins.