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Sugarcreek, Centerville “at impasse” on Dille tax issues

Development plans for property near I-675 in limbo as both sides squabble over latest court ruling.

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By Jeremy P. Kelley, Staff Writer 1:06 PM Wednesday, December 23, 2009

XENIA — Sugarcreek Twp. and Centerville appear headed for battles lasting months and possibly years in the Dille property tax lawsuit, after Greene County magistrate George Reynolds said last week he thinks the parties’ views “are more divergent than ever.”

On Sept. 11, three years into the case, the Second District Court of Appeals delivered a detailed 50-page decision, sending part of the case back to Greene County Common Pleas Court. But now the parties “are at impasse about what the decision of the court of appeals means,” Centerville attorney Catherine Cunningham said Dec. 17.

The Dilles’ 268 acres near Wilmington Pike and Interstate 675, which legally are part of both Centerville and Sugarcreek Twp., could yield millions in property tax revenue if they are fully developed.

The question is whether Centerville eventually will be able to divert a large chunk of the property taxes to help pay for development — a process called tax increment financing.

The appeals court ruling did not explicitly address the legality of the type of TIF Centerville likely would use.

Sugarcreek attorney Scott Phillips said there is no legal precedent on this specific topic.

Reynolds asked Centerville and Sugarcreek to submit a list of issues on which they agree by Jan. 15, followed by motions for summary judgment by Jan. 22, and oral arguments on Jan. 26. He acknowledged that no matter how he rules, the case likely will be appealed to the Second District again, and he wants to make sure the TIF issue is dealt with this time.

“I want the 800-pound elephant in the middle of the living room to be addressed directly,” Reynolds said.

Contact this reporter at (937) 225-2278 or jkelley@DaytonDailyNews.com.

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