Joint Economic Development District (JEDD)
Annexation Moratorium Agreement
History, Structure & Benefits
History
On December 13, 2004, Harrison Township, the Villages of Ashville and South Bloomfield, and Pickaway County signed the North Gate Alliance Cooperative Economic Development Agreement (CEDA). The signing of the CEDA agreement capped a yearlong effort of discussions concerning future development in the northern portion of the county and how to best attract new businesses and jobs to their communities. The CEDA Agreement addressed the issues of utility services, annexation, road maintenance, fire and emergency service, and joint planning in the CEDA area, which includes all of unincorporated Harrison Township. The North Gate Alliance CEDA also provided for the sharing of income tax on any new businesses locating in the agreement area. While discussions were being held about the CEDA, Norfolk Southern Railroad announced their intent to build an Inter-Modal facility in Pickaway County, just south of Rickenbacker. As a result of this announcement, the North Gate Alliance CEDA group began discussions with the City of Columbus to plan for this Inter-Modal facility and the considerable growth potential for the area. Out of these discussions came the idea of entering into a JEDD with the City of Columbus
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Structure
The intent of the JEDD is to set up an agreement between the City of Columbus and the CEDA group to develop 1,000 acres in Harrison Township that is owned by the Columbus Regional Airport Authority (CRAA) and Norfolk Southern Railroad. All land within the JEDD will stay within Harrison Township and all real estate taxes will stay in Pickaway County. The City of Columbus has agreed not to annex this land into its boundaries for a 50-year period. An income tax, equal to 2% of wages, will be levied on workers in the JEDD. Half of the income taxes collected will be used to pay for infrastructure and the other half will be split among the parties to the JEDD. Sewer to the JEDD will be provided by Columbus, water will be provided by Earnhart Hill, and Alum Creek Dr. will be extended to serve the area. Under state law, a JEDD can be no more than 2000 acres. The initial JEDD is only 1000 acres. As additional parcels of land are slated for development around the initial JEDD they can become a part of the initial JEDD until it reaches 2000 acres. Additional JEDDs can be established within the surrounding area based on the template of the initial JEDD. The board of governors of the JEDD will be made up of three individuals; one representative appointed by the Harrison Township Trustees, one representative appointed by the City of Columbus, and one individual appointed to the board by the first two representatives. As businesses locate in the JEDD, one representative from a company within the JEDD will be on the board and one representative from workers in the JEDD will be on the board. Overriding the JEDD agreement is an annexation moratorium agreement for an area bounded by the Harrison Township line in the east, the Scioto River in the west and Duvall Rd. in the south. This agreement is between the same parties as the JEDD. Established in this agreement is a 50-year moratorium on annexation of land located within this area by any of the municipalities that are a party to the agreement. The agreement sets out a capital improvements plan to serve the area with water, sewer, roads and fiber optics. The JEDD and the annexation moratorium agreement have to be approved by the City of Columbus and the members of the North Gate Alliance CEDA. Before these approvals can happen, public hearings will be held in each jurisdiction. After these meetings are held, each public body will vote on the JEDD agreement and annexation moratorium agreement
Benefits
The major benefit to Harrison Township and Pickaway County is that all land in the JEDD and in the no-annexation area will stay within Harrison Township for the next 50 years. By signing the agreement, the City of Columbus and the Villages of Ashville and South Bloomfield will not be able to annex this land into their boundaries. In addition, the parties to this agreement get to share in any income taxes collected with the area. As described above, the 2% income tax will get split among the parties to the agreements. All property taxes generated in the JEDD and no-annexation area will stay within Pickaway County. Pickaway County is not currently able to collect any property taxes on the land owned by CRAA. The inclusion of this property in the JEDD makes it possible for Pickaway County to collect property taxes on any new buildings constructed in the area. The JEDD agreement and annexation moratorium agreement allow Harrison Township to maintain control of this area as it grows. Without the JEDD, the CRAA and Norfolk Southern would have petitioned the City of Columbus to annex their property into the city. Due to state law, it would have been very difficult for Pickaway County to stop this annexation. These agreements allow Pickaway County to partner in the development, control the zoning process, and realize significant economic benefits.