Annexation of proposed stadium land in the works / Macedonia would get land, share taxes with Northfield Center and school district

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by Jeff Saunders

Reporter

Nordonia Hills -- Plans for a proposed Major League Soccer stadium in Northern Summit County have entered a new phase as neighboring communities are negotiating an annexation agreement.

"It's pretty cut and dry that the annexation is going to happen," Macedonia Mayor Don Kuchta told the News Leader July 20.

A "framework for annexation agreement" was signed by Macedonia and Northfield Center Township officials July 18. It states an unspecified number of acres in Northfield Center east of Route 8 between the Macedonia and Boston Heights borders would be annexed to the city.

The trustees say there wasn't much of a choice.

Northfield Center Trustees Richard Reville said the city presented the proposal to the Trustees at the JEDD meeting. He and Trustee Paul Buescher said that under state law, townships cannot stop land from being annexed.

"We weren't given much choice in the matter," said Buescher. "We either had to get on board and get what we can get for the residents or they would come in and take it and we would get nothing."

Kuchta said that without an agreement, the annexation would move forward without Northfield Center's consent, and "if that happens, Northfield Center would get nothing."

"We cannot stop the annexation," said Reville. "We're just trying to protect our residents."

Reville said this includes a requirement within the framework for a 200-foot buffer, or if this is not possible, mounding and trees, between the development and residential areas within the township that border the development.

According to framework, Macedonia, Northfield Center and the Nordonia Hills School District would split income taxes from the proposed stadium and a retail area being planned next to it by the Wolstein Sports and Entertainment Group.

City Finance Director Steve Brunot said there are no estimates for how much revenue would be generated from the annexed property, but he noted that for at least the first few years, most if not all of the income tax revenue would pay for city-provided services, including police, fire and road maintenance. (See related story for details of the proposal).

The agreement states the communities would split a "payment in lieu of property taxes" from the developer, who would make an unspecified payment to the city and township in exchange for a tax increment financing agreement allowing it to finance the stadium's construction with property tax revenue.

Wolstein Group had a similar agreement to make PILOT payments to the school district in exchange for the district's approval of the TIF plan. It expired at the end of last year and has not been renewed. School officials did not return phone calls seeking comment.

Kuchta, Reville, Buescher and Trustee Brent Sommer, and Macedonia City Council President Jan Tulley and Councilor Mike Miller signed the framework at a meeting of the Joint Economic Development District Board of Directors.

Reville said the JEDD Board's approval was necessary because about 66 acres of the potentially annexed property would have to be detached from the JEDD between Macedonia and Northfield Center.

Brunot, who also serves as the JEDD's finance officer, said the Wolstein Group requested the annexation because it is planning to finance a portion of the project through property taxes and under state law, such financing can only take place for projects in an incorporated area.

"It has to be in the city," said Brunot.

Paul Garofolo, president of the Wolstein Group, did not return phone calls by press time.

Brunot said details of the agreement must now be worked out by township attorney Todd Raskin and City Law Director Joseph Diemert before it goes to the Trustees and City Council for approval. Diemert said it was unknown how long the negotiations will take.

"It could take months," he said.

Diemert said the exact boundaries still need to be determined by survey and he could not provide an estimate as to its size.

Editor's note: Saunders is a reporter for the News Leader.

E-mail: jsaunders@recordpub.com

Phone: 330-688-0088 ext. 3169