Partnering communities in a tax-sharing agreement involving the Interstate 75/Austin Boulevard interchange area will be guaranteed a minimum annual payment in a new version of the deal.
A minimum combined payment of $300,000 will be divided among Miami Twp., Miamisburg and Springboro each year, according to a revised Austin Center Joint Economic Development District agreement approved by all three jurisdictions.
FOLLOW ON FACEBOOK: https://www.facebook.com/NickBlizzardDDN/
The Austin JEDD, which records show has brought in about $1.95 million in tax revenues since 2014, is targeting $900,000 in payouts this year. But local officials agreed one third of that amount was a reasonable annual minimum amount, said Austin JEDD Chairman Steve Stanley.
“In my judgment at least, it was really looking at revenues that are currently being generated saying that it’s logical for us to set a threshold,” he said. “The collective judgment was that’s a good number to use.”
The JEDD, created in 2009, levies a 2.25 percent income tax on all retail businesses and some offices within in its estimated 100 acres around I-75. Miami Twp. gets about 57 percent of the disbursements while Miamisburg receives about 22 percent and Springboro gets roughly 20.5 percent.
The payments to communities are among the changes to the agreement as it was updated to ensure it is in line with current state law. Ohio legislative changes include provisions that allow the entire district to be a mixed-use development, Miamisburg Assistant Finance Director Jennifer Johns said.
This is a “material” change that allows all JEDD parcels - including apartments – to be subject to income taxes while permitting redevelopment within the district, she said.
The new Austin JEDD deal also provides compensation to the tax administrator, which has been and is currently Miamisburg. The administrator will receive 5 percent of the district’s prior year income tax revenues, the agreement states.
Falling tax revenues in Ohio cities in recent years because of state action has cost Miamisburg about $1.5 million, said Dick Church, Jr., that city’s mayor. The impact of those dwindling funds are less of a hardship because of JEDDs and the income tax dollars they can bring, he said.
“This is cooperation between communities,” Church said. “….And by working (together) we are accomplishing a lot of great things. We’re bringing jobs into this community……the more business we have, the more revenue we’re going to generate.”
Thank you for reading the Dayton Daily News and for supporting local journalism. Subscribers: log in for access to your daily ePaper and premium newsletters.
Thank you for supporting in-depth local journalism with your subscription to the Dayton Daily News. Get more news when you want it with email newsletters just for subscribers. Sign up here.