PICKERINGTON CITY COUNCIL
CITY HALL, 100 LOCKVILLE ROAD
TUESDAY, DECEMBER 16, 2008
6:30 P.M.
JOINT PUBLIC HEARING
CITY OF PICKERINGTON AND VILLAGE OF CANAL
WINCHESTER
1. Call
to Order. Mayor O’Brien opened the Joint
Public hearing at 6:30 P.M.
2. Roll
Call:
A. City of Pickerington: Jeff Fix, Cristie Hammond, Michael Sabatino,
Tricia Sanders, Brian Sauer, Keith Smith, Brian Wisniewski, and Mayor O’Brien
were present. No members were absent. Staff members present were: Tim Hansley, Lynda Yartin, Phil Hartmann, Ed
Drobina, and Lance Schultz.
B. Village of Canal Winchester: John Bender, Rick Deeds, Bruce Jarvis, Bobbie
Mershon, Victor Paini, and Mayor Ebert were present. Mrs. Rush-Ekelberry and Mrs. Turner were
absent. Staff members present were: Nanisa Osborn.
3. Purpose of the Public Hearing: To
hear public comments on the proposed creation of the “Violet Township-Village
of Canal Winchester-City of Pickerington Joint Economic Development District
(JEDD). Mayor O’Brien stated he would
like to thank everyone from Canal Winchester for attending this hearing. Mayor O’Brien stated Violet Township Trustees
Harry Myers and Gary Weltlich were present as well as Bill Arnett, Judy Shupe,
and Tony Vogel from Fairfield County. He
stated Bill Yaple from Violet Township was also present. Others present were: John Nungesser, Paul Vernon, Rachel
Schofield, Joy Davis, Gene Hollins, Nate Ellis, Jeffrey Bond, Carol Carter,
Norm Hopkins, Al Schrader, and others.
4. Presentation
to Council: Mr. Gary Weltlich, Violet
Township Trustee, stated he was present this evening to speak in favor of this
agreement. Mr. Weltlich stated there are
well documented studies that show the expense to revenue ratios for political
subdivisions like ours with residential being 120 to 135 percent, which means
it costs you more to provide your services than you take in; retail is about
105 to 115 percent, and commercial is between 65 to 75 percent. He stated commercial is defined as light
industrial and professional office. Mr.
Weltlich continued that the obvious goal should be to balance our tax base by
significant addition of commercial development or we can continue to expect
major tax increases or a lower quality of life by providing fewer services. Mr. Weltlich stated in 2002 a CEDA was
formed between the Village of Canal Winchester and Violet Township that is just
now beginning to blossom. He further
stated realizing the need to cooperate with one another led to the creation of this
JEDD agreement that offers flexibility and more opportunity to the
participants. Mr. Weltlich stated we
live in a global community; the internet has seen that the world is shrinking
and we can no longer live as an island.
He stated what happens here affects the rest of the world and vise versa. Mr. Weltlich stated this agreement was
crafted with the intent of creating a climate of trust, cooperation, controlled
development, and success that will last well into the future. He stated in order to succeed in attracting
new commercial and industrial development we must all work together. Mr. Weltlich stated the JEDD agreement being
considered is a statement of cooperation and understanding in order to not only
survive, but to succeed in the future, and all of our communities must come
together for the benefit of all of our constituents. Mr. Weltlich stated each participant must put
aside selfish interests, which prevents the traditional myopia and
politicalism. He further stated a JEDD
is a sound economic development tool and the participating political entities
represented here tonight, if it is approved, are committed to this
agreement. Mr. Weltlich continued that
no landowner will be forced to become a part of the JEDD, they can opt-out by
utilizing a notarized form and turning it in to the Violet Township office for
an acknowledgment of receipt.
Mr.
Weltlich stated the County utilities get the first right of refusal and each
entity shall have representation on the JEDD Board as well as businesses in the
District and employees in the District once it is created. Further, participants share the income tax
revenues and it creates a revenue stream for local governments that may face
financial challenges in these current economic times. He stated we are at a crossroads, after years
of tireless effort, compromise, collaboration, and cooperation your respective
Councils have now reached a point of decision.
He stated he believed this is an excellent opportunity to set the
example for this corridor while there are no economic development pressures
upon us. Mr. Weltlich stated 58 percent
of Fairfield County employed residents now travel outside the County to work
and pay income tax to some other municipality and receive no quality of life
benefits at home for that expense.
5. Resident
Questions/Comments:
A. Mr. Jeffrey Bond, Canal Winchester. Mr. Bond stated he would like to address the
downsides of the JEDD, and he felt there were many. Mr. Bond stated he knew we were going after
economic dollars, but he felt a lot of the economic dollars have been very
shortsighted. He stated further this
would take the people’s input out of the government and it would just be a
bunch of public entities deciding what was going to be there and that can
create a disaster. Mr. Bond stated his
major concern was that this is just another circumstance where we are setting
up a JEDD and we don’t have any industry coming in, it is just being blindly
set up. He stated this would take away
the rights of citizens to have any say about what would come in, it will just
be a group of people sitting at a table deciding what it is going to be. He stated he did not want a society like that
and he hoped the Councils did not either.
B. Mr. John Nungesser, Lancaster. Mr. Nungesser read a prepared statement into
the record (Attachment 1 to these minutes.)
C. Mr. Norm Hopkins, Violet Township. Mr. Hopkins stated he is in favor of the JEDD
because it would increase revenue, however, he does have a few questions. He stated his first question would be why the
landowners must opt-out rather than opt-in, and he wondered why a landowner
would be forced to do anything unless they want to be a part of the JEDD. He further stated he would like to know if
anyone from the City of Pickerington or Village of Canal Winchester Councils or
their relatives own land within the JEDD.
He stated he was not talking about the council members only, but also
executive directors, the City Manager, or whatever. He stated if they do he felt there was a
conflict of interest on their voting on whether the JEDD should go through or
not. Mr. Hopkins stated a JEDD went
through in Springfield, Ohio, that was voted for by the people rather than
voted for by the people’s representatives and he wondered why we did not do the
same. Mr. Schrader stated that was under
a different statute that only applies to Charter Counties. Mr. Hopkins stated as a taxpayer he is
interested in what is in the best interests of not only the Township, but also
the community. He stated he is in favor
of the JEDD, but he did not feel comfortable with the opt-out versus the
opt-in.
Mr.
Weltlich stated the opt-out was chosen after much discussion and it was
determined that all landowners would be notified when and if a JEDD comes and
they would just have to submit the notarized statement that they did not wish
to participate. He stated this would
avoid the situation of a property owner saying they did not know something was
happening.
D. Mr. Tony Vogel, Fairfield County
Utilities. Mr. Vogel stated he has read
that the two percent income tax does not mean anything. He stated it does, and it comes down to
services provided. Mr. Vogel stated at
Canal Pointe, Canal Winchester provides water, sewer, fire, law enforcement,
etc., with that two percent income tax. He
stated at the JEDD, right across the street, the JEDD provides no water, no
sewer, etc., and they can’t provide tax abatement. He stated the bottom line is business, and
big businesses are not going to come here.
He stated the two percent income tax doesn’t happen in residential and
all they have to do is go to Greenfield Township or Bloom Township and there is
not a two percent income tax. He stated
it has been said that a lot of people travel outside of this County for their
jobs, and he did not see this document creating something for people to build
here. He stated he did not see what
would draw businesses to build here.
E. Mr. Bill Arnette, Fairfield County
Economic Development. Mr. Arnette stated
he agreed with a lot of what Mr. Weltlich had to say; clearly by working
together we can accomplish a lot more than we could separately. He stated he felt it was safe to say that all
of the potential partners want to see this corridor develop and what we have is
just a minor disagreement in terms of this document and what it will or will
not do for economic development in this corridor. Mr. Arnette stated although Fairfield County
is not a partner in the agreement, they are interested in development in the corridor
and much of this JEDD area would be served by Fairfield County utilities. He stated the County would benefit when
development occurred and having good, quality jobs close to home for local
residents did improve the quality of life for everyone. He stated he has heard this is a JEDD template,
but Pickerington’s ordinance calls it an agreement that would occur if there
were property owners who would sign a petition.
He stated he understood the process, but the issue was the document that
was created has partners, income tax distribution, how the Board is appointed,
and the term, but you do not have a project.
He stated a document has been crafted without any input from a potential
business, a property owner or a developer.
He stated he has also heard this can be changed, and that was his
point. If it can be changed, then don’t
do anything now, wait until a project comes along and then create a JEDD that
actually meets the needs of the project.
He also stated he has heard this will speed along development in this
area, but unless a contracting party is going to identify an infrastructure
need and pay for the infrastructure to create a more shuttle ready site, this
document is not going to do anything.
Mr. Arnette stated further he has heard the reason it is important to
have this document on the shelf is because it helps businesses understand the
rules of the game, it helps them know what to expect when they come to the
corridor, and that mitigates risk and is good for development. He stated he wondered about that “rules of
the game” because as many know Lancaster was successful in attracting U.S.
Corrugated, one of the largest projects in the State of Ohio. He stated he doubted Mayor Smith of Lancaster
handed them a 60-page document and told them those were the “rules of the
game.” He stated Lancaster did
everything possible, including putting dollars on the table to build a rail
spur, to get U.S. Corrugated in the community.
He stated they expedited permitting so the company could have its timeline
met. Mr. Arnette stated when you are
dealing with projects of that size; the community is not in the driver’s
seat. The company is being sought by
many communities and you are doing the best job you can do to get a project,
you are not setting the rules. Mr.
Arnette stated with regard to the two percent income tax and could that be a
problem. He stated with U.S. Corrugated
and with Canal Pointe you are dealing with a 100 percent, 15-year CRA tax
abatement. He stated those employees are
paying an income tax, and potentially the corporation is if they are making a
profit, but they are getting a 100 percent, 15-year tax abatement too. Mr. Arnette stated for some projects, income
tax will be an issue. Mr. Arnette stated
in his opinion, the bottom line is this document really doesn’t do anything in
terms of increasing the prospect of commercial or industrial development in the
corridor.
F. Mr. Al Schrader. Mr. Schrader stated it is much easier to not
do anything than to try to create something that will work. He stated in the past what local government
has done, because they tend to fight over development, is drive away
development. He stated he viewed this
template as a government ready document.
A message is being sent to the developers that the entities are not
fighting about annexation, about what City it will be in, and anywhere along
this corridor is going to be something these communities are cooperating in to
make it work. He further stated by law,
at least a majority of landowners have to sign a petition to join the JEDD and
the opt-out is to deal with those people who are in the minority. He stated it is not like the entire area is a
JEDD and you have to opt-out of it. He
further stated it does not take away any powers of elected officials, and it
does not do a thing to change zoning.
Mr. Schrader further stated this document has been changed so as to
address and reflect concerns voiced by individuals at previous public
hearings. Mr. Schrader stated with
regard to the two percent tax, this tax is the only one he knew of where those
who pay it are guaranteed to get 35 percent of that tax back into their
neighborhood for infrastructure or things they need to do to help with their
business. Mr. Schrader stated he has
heard the JEDD should be project directed, and he feels this is much better
because you are doing it at a time when there are not pressures to develop or
to do something a certain way, you are setting a general agenda as to how
everyone will cooperate in this area with a JEDD, and that seemed to be the
right way to do it. He stated as the
projects arise, they can be dealt with then, but this sets the agenda as to how
the communities are going to cooperate.
6. Council
Comments/Questions: Mayor O’Brien stated
he would invite comments from the Village of Canal Winchester Council
members.
A. Mr. Bruce Jarvis stated with regard to
the opt-out issue, he did feel that someone could still raise the issue that
they were not notified and this happened without their knowledge. He stated he did not know what the solution
was; this was just something that he had to think about a little bit. He further stated he felt everyone has made
some very valid points on how this could or could not work, but it is so
futuristic in vision that he felt the rules will change completely and everyone
has a chance to be right on this one. He
stated he did agree however that not doing anything at all is probably the
easiest thing to do, and while he did not feel Canal Winchester has a lot to
gain on this, he also did not feel they had anything to lose and it is being
done in the spirit of cooperation.
B. Mr. Rick Deeds stated he felt the
cooperation was a key thing, and a side benefit is that this will allow for
some consistency in the look as you go down Route 33 as far as a common look
with greenery, building materials, etc.
He stated this might give us a chance to set us apart and perhaps draw
those more attractive businesses as you go down the road.
C. Mayor Ebert clarified we were looking
for light industrial and professional offices in the JEDD area; however, a
mixed use is fine as well.
D. Mr. John Bender stated he supported this
agreement and he thought it was well thought out. He stated he also liked that it is being set
up prior to specific projects because once you get into a project you may get
into more conflicts.
E. Mr. Victor Paini stated he agreed with
a lot of what his peers from Canal Winchester have said, and there is a lot of
flexibility built into the document and it is nice to have something in place
before the development comes. He stated
the biggest advantage to him is that there will be some consistency in look and
feel as you go down Route 33 and he felt that would help property values and
help bring the types of businesses we want to see in this area.
E. Ms Bobbi Mershon stated she agreed with
the rest of her Council and the spirit of cooperation is a good thing. She stated she also felt that doing this now
before we actually have a project is important for the same reasons that Mr.
Paini stated and she liked the consistency of having development down Route 33
that is compatible with the environment and is not an eye sore, and this will
improve the quality of life for everyone in Fairfield County.
Mayor O’Brien stated he would invite comments
from the City of Pickerington Council members.
F. Mr. Keith Smith stated he agreed with
all of the comments made by Canal Winchester council members. He stated the one thing that stood out for
him is the argument about income tax driving people away. Mr. Smith stated if tax was a deterrent there
wouldn’t be any new businesses in Pickerington, Canal Winchester or in
Lancaster. He stated the fact is,
businesses locate where they can get the utilities and the support they need
and he felt this established a mechanism so that will be there. He stated he would also like to stress the
expectation that this is long-term, not something that will happen next year,
or even the year after.
G. Mr. Brian Sauer stated he would like to
continue with the comments of support because from his point of view one of the
areas he was interested in when he decided to run for Council was economic
development and he felt this was a situation that would enable that to
occur. He stated in talking about
development three things are mentioned and those are an educated work force,
and he felt we have that, second is land, and third is cooperation between the
governmental entities where businesses are looking to locate. Mr. Sauer stated he felt this particular
document achieved all three of those things and that is why he will support
this.
H. Mrs. Cristie Hammond stated in the past
she has heard about how the government entities did not get along in this area
and she feels that despite the fact that there were disagreements along the
way, everyone worked very hard to come to this document that we now have. She stated she felt everyone will benefit
from working together and she will support this agreement.
I. Mayor O’Brien stated the City
determined we needed to come up with an alternate source of income for the City
and he felt this JEDD would demonstrate to the residents that Council is trying
to seek a sustainable source of income from an area we may otherwise never get
a chance to get income from.
J. Mr. Mike Sabatino stated there have
been comments this evening concerning opt-in versus opt-out and he felt this
agreement is a very positive step in the right direction, but he would ask that
the collective minds consider that when notification is made to adjoining property
owners that the opt-out form be included with the notification. He stated there have been articles in the
papers lately about governments getting together in regionalism and he felt it
was nice to see the political entities that we have all in the same room and
all considering something that is a potential benefit to the entire community
and he felt this was a good thing. Mr.
Sabatino stated he felt this JEDD was a step in the right direction and was
another tool in the toolbox of economic development.
K. Mr. Jeff Fix stated he became involved
in discussions about this JEDD approximately three years ago and although there
have been bumps and compromises, the end result is that we have something that
everyone feels pretty good about. He
stated this is the first step toward working together and that is a step
forward for the entire community. Mr.
Fix stated this is not a perfect document, there is no perfect document, but he
disagreed respectfully with the individuals who did not feel this would add to
development in the County and in our part of the community. Mr. Fix stated he felt this definitely let
people know we all want to work together to bring the right kind of development
to our county and the community and he is glad to see this finally come to
fruition.
L. Mrs. Tricia Sanders stated this is not
a short-term fix, it is a long-term goal, and she felt it would benefit all of
the residents of Pickerington, Canal Winchester, Lancaster, and all of
Fairfield County. Mrs. Sanders stated
she felt this was a great thing and she would support it.
M. Mr. Brian Wisniewski stated generally he
did support the document, however, he did feel an opt-in clause would be much
more sufficient and appropriate instead of having an opt-out. He stated when you have an opt-out and are
considering a 40 square mile radius of land there can be a lot of
misconceptions and misperceptions, and property rights are a core basis of
America. He stated the majority of this
land is residential and this would cause additional grief from people that have
no desire to be a part of a JEDD. Mr.
Wisniewski stated there is no infrastructure in this area so it is obviously a
long-term goal and he would support it and he did not want the public to get
the misperception that we will be getting money from any project in this area
any time soon.
7. Adjournment. There being nothing further, Mayor O’Brien
closed the public hearing at 7:34 P.M., December 16, 2008.
RESPECTFULLY SUBMITTED:
_______________________________
Lynda D. Yartin, Municipal Clerk
ATTEST:
________________________________
Mitch O’Brien, Mayor