CENTERBURG — Annexation and land use topped Centerburg Village Council’s agenda on Monday.
Council members waived the third reading and approved annexing 85.4 acres on Johnsville Road into the village.
Before passing the ordinance, they amended it to include a parcel map. The ordinance includes an emergency clause, meaning the legislation takes effect upon the mayor’s signature.
The majority of Centerburg-area residents who spoke at previous council meetings oppose the annexation.
Cameron James and Bob Guthrie reiterated their opposition on Monday.
James said annexing the land will “set the course” for future requests. He told administration officials, “We stay after you’re gone.”
“I just want you guys to fight for what the village, what the community [wants],” he told council members. “I want you to fight because it starts this downhill; once it gets rolling downhill …”
“We can’t fight unless it’s annexed into the village,” Council President Greg Myers said.
Barnes Road resident David Weade said he isn’t opposed to the annexation and can accept 80 to 85 homes. However, he opposes a higher density.
Weade said council members must be serious about taking care of the schools and covering the expenses generated by the new growth.
“Your zoning code does say that as long as it does not have an adverse effect on schools,” he said. “That’s council’s ace to say no.”
Council members handled two other pieces of legislation related to land use.
One authorizes the village to create a comprehensive plan. The other creates a New Community Authority (NCA).
Village Administrator Richard Dzik told council members to look at the initiatives as a whole package.
He said the NCA creates funding for growth-related projects. The comprehensive plan informs the NCA of the cost of that growth.
New Community Authority
Council members gave a first reading to legislation authorizing a $20,000 contract with Kutarock for legal services to create an NCA.
“We are working through two annexation processes and coming up on two new rezoning processes. I think it would behoove us to get the NCA in the pipeline and established as soon as possible in alignment with them,” Dzik said of why the legislation carries the emergency clause.
Kutarock attorney Greg Daniels said the council forms the NCA. However, a separate board of trustees governs it. Board members include representatives appointed by the council, property owners, and developers.
“The idea is bringing both sides, the public and the private, together to work on solving development challenges in the community,” he said.
Daniels said councils typically appoint four board members, and private entities appoint three.
A landowner, developer, or municipality can petition to create an NCA. The NCA process includes a hearing(s) for public input.
Daniels said more and more villages are considering establishing NCAs.
Daniels said the village can require that the property owner join the NCA as a condition of annexation.
Dzik said it is unclear whether the village can require the developer to join the NCA if the land was annexed before the NCA was created.
“We’d like to avoid that situation,” he said.
NCAs as a revenue stream
NCAs do not have taxing or zoning power. However, they can collect development charges from property owners in the new development area.
Fees are often expressed in mills; the millage can be open-ended or for a set term.
Existing property owners outside the new development do not pay the charge.
The funds the NCA collects can be used for safety equipment, roads, sewer, schools, or services.
Centerburg resident Tyler Griffith asked why homeowners in the new development should have to pay the development charge when they pay income tax, their property adds value to the tax base, and the developer pays for the roads, sewers, and houses.
Daniels responded that there might be additional growth impacts on the broader community that incur costs. For example, the fire department might need additional trucks or gear to cover more homes.
“My biggest concern is these people that are building the new house, they’re getting taxed more already, and now you’re adding a second tax. So they’re already paying technically more than their fair share because their house is brand new as opposed to the old houses in town,” Griffith said.
“Any time we get more taxes, I think it should be looked at very closely.”
A comprehensive plan specific to the village
Council members waived the three readings and approved contracting with V3 to prepare a comprehensive plan. The resolution includes the emergency clause.
Councilman Daniel Hardwick said he voted to waive the three readings “conditional to making sure that paving is in the pipeline.”
“I talked with the administrator. He says it is, and I believe him,” Hardwick said.
Council passed the legislation by a 4-to-1 vote. Hardwick voted no.
V3 submitted a bid of $291,000. Of the $291,000, approximately $100,000 is for creating a traditional comprehensive plan.
The remaining $191,000 covers stormwater, wastewater treatment plant and system, transportation, and infrastructure plans.
“This plan is expected to dive a little deeper than a traditional plan,” Dzik said. “The goal is to get some cost estimates for what growth will cost us in the next 10 years so we can start setting our assessments or fees to these new developments appropriately.”
Dzik said it will not include construction designs, but enough information to quickly create them.
The general and sewer funds will each cover half of the $291,000 cost.
Dzik said the village can likely be reimbursed from NCA funds, if desired, given that the project is necessary to address growth.
